ELAINE KRYSTA S.

PONDO, MBA
Subject Instructor
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CHAPTER 3: HISTORY OF PHILIPPINE MONEY

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Philippine Money
Multi-colored threads woven into the fabric of our social, political and economic life.
From its early bead-like form to the paper notes and coins that we know today, our
money has been a constant reminder of our journey through centuries as a people
relating with one another and with other peoples of the world.

I. Pre-Hispanic Era

 Long before the Spaniards came

to the Philippines in 1521, the
Filipinos had established trade
relations with neighboring lands like
China, Java, Borneo, Thailand and
other settlements. Barter was a
system of trading commonly
practiced throughout the world
and adopted by the Philippines. The
inconvenience of the barter system led to the adoption of a specific medium
of exchange – the cowry shells. Cowries produced in gold, jade, quartz and
wood became the most common and acceptable form of money through
many centuries.

 The Philippines is naturally rich in gold. It was used

in ancient times for barter rings, personal
adornment, jewelry, and the first local form of
coinage called Piloncitos. These had a flat base
that bore an embossed inscription of the letters
“MA” or “M” similar to the Javanese script of the
11th century. It is believed that this inscription was
the name by which the Philippines was known to
Chinese traders during the pre-Spanish time.

 Barter rings are made from pure

gold, were handfashioned by early
Filipinos during the 11th and the
14th centuries. These were used in
trading with the Chinese and other
neighboring countries together with
the metal gongs and other
ornaments made of gold, silver and
copper.
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II. Spanish Era (1521-1897)

 The cobs or macuquinas of colonial mints were

the earliest coins brought in by the galleons from
Mexico and other Spanish colonies. These silver
coins usually bore a cross on one side and the
Spanish royal coat-of-arms on the other.

 The Spanish dos mundos were

circulated extensively not only in the
Philippines but the world over from
1732-1772. Treasured for its beauty of
design, the coin features twin
crowned globes representing Spanish
rule over the Old and the New World,
hence the name “two worlds.” It is
also known as the Mexican Pillar
Dollar or the Columnarias due to the
two columns flanking the globes.

 Due to the shortage of fractional coins,

the barrillas, were struck in the Philippines by order of
the Spanish government. These were the first crude
copper or bronze coins locally produced in the
Philippines. The Filipino term “barya,” referring to
small change, had its origin in barrilla.

 In the early part of the 19th century, most of the Spanish colonies in Central
and South America revolted and declared independence from Spain. They
issued silver coins bearing revolutionary slogans and symbols which reached
the Philippines. The Spanish government officials in the islands were fearful
that the seditious markings would incite Filipinos to rebellion. Thus they
removed the inscriptions by counter
stamping the coins with the
word F7 or YII. Silver coins with the
profile of young Alfonso XIII were the
last coins minted in Spain. The pesos
fuertes, issued by the country’s first
bank, the El Banco Español Filipino
de Isabela II, were the first paper
money circulated in the Philippines.
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III. Revolutionary Period (1898-1899)

 General Emilio Aguinaldo, the first Philippine

president, was vested with the authority to
produce currencies under the Malolos
Constitution of 1898. At the Malolos arsenal,
two types of two-centavo copper coins were
struck. Revolutionary banknotes were printed in
denominations of 1,5 and 10 Pesos. These
were handsigned by Pedro Paterno,
Mariano Limjap and Telesforo
Chuidian. With the surrender of General
Aguinaldo to the Americans, the
currencies were withdrawn from
circulation and declared illegal currency.

IV. American Period (1900-1941)

 With the coming of the Americans 1898, modern banking, currency and
credit systems were instituted making the Philippines one of the most
prosperous countries in East Asia. The monetary system for the Philippines was
based on gold and pegged the Philippine peso to the American dollar at the
ratio of 2:1. The US Congress approved the Coinage Act for the Philippines in
1903.

 The coins issued under the system bore the designs of Filipino engraver and
artist, Melecio Figueroa. Coins in denomination of one-half centavo to one
peso were minted. The renaming of El Banco Espanol Filipino to Bank of the
Philippine Islands in 1912 paved the way for the use of English from Spanish in
all notes and coins issued up to 1933. Beginning May 1918, treasury certificates
replaced the silver certificates series, and a one-peso note was added.

V. The Japanese Occupation (1942-1945)

 The outbreak of World War II caused serious disturbances in the Philippine

monetary system. Two kinds of notes circulated in the country during this
period. The Japanese Occupation Forces issued war notes in big
denominations. Provinces and municipalities, on the other hand, issued their
own guerrilla notes or resistance currencies, most of which were sanctioned
by the Philippine government in-exile, and partially redeemed after the war.

VI. The Philippine Republic

 A nation in command of its destiny is the message reflected in the evolution

of Philippine money under the Philippine Republic. Having gained
independence from the United States following the end of World War II, the
country used as currency old treasury certificates overprinted with the word
"Victory".
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 With the establishment of the Central Bank of the Philippines in 1949, the first
currencies issued were the English series notes printed by the Thomas de la
Rue & Co., Ltd. in England and the coins minted at the US Bureau of Mint. The
Filipinization of the Republic coins and paper money began in the late 60's
and is carried through to the present. In the 70's, the Ang Bagong
Lipunan (ABL) series notes were circulated, which were printed at the Security
Printing Plant starting 1978. A new wave of change swept through the
Philippine coinage system with the flora and fauna coins initially issued in 1983.
These series featured national heroes and species of flora and fauna. The new
design series of banknotes issued in 1985 replaced the ABL series. Ten years
later, a new set of coins and notes were issued carrying the logo of
the Bangko Sentral ng Pilipinas.

 As the repository and custodian of country's numismatic heritage, the Museo

ng Bangko Sentral ng Pilipinas collects, studies and preserves coins, paper
notes, medals, artifacts and monetary items found in the Philippines during
the different historical periods. It features a visual narration of the
development of the Philippine economy parallel to the evolution of its
currency.

Current Banknotes and Coins in Circulation

 Pursuant to the New Central Bank Act, the BSP has the sole power and authority
to issue currency, within the territory of the Philippines. Notes and coins issued
by the BSP are liabilities of the BSP and may be issued only against, and in
amounts not exceeding, its assets. All notes and coins issued by the BSP are fully
guaranteed and are legal tender in the Philippines for all debts, both public and
private.

 The following are the current banknotes and coins in circulation issued by BSP:

o BSP Coin Series (1995 - Present)

o New Generation Currency Banknotes Series (2010 - Present)
o New Generation Currency Coin Series (2018 - Present)

Coins in Circulation

BSP Coin Series (1995 – Present)

In 1995, a new set of coins and notes was issued which carried the logo of the
new BSP: 5- and 1-piso and 25-, 10-, 5- and 1-sentimo. On July 10, 2001, BSP issued
the 10-piso coin for general circulation to commemorate its 8th year
anniversary. It has the profiles of Andres Bonifacio and Apolinario Mabini in a
con-joint or in tandem manner on the obverse side. The reverse side bears the
seal of the Bangko Sentral ng Pilipinas which is consistent with the common
reverse design of the other six denominations. This has been an additional
denomination to the current coin circulation and a replacement for the 10-piso
NDS banknote.
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10-piso

Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
Apolinario Mabini and Andres Bonifacio,
"Republika ng Pilipinas", 10 piso, Year mark

5-piso

Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
Emilio Aguinaldo, "Republika ng Pilipinas", 5 Piso, year mark

1-piso
Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
Jose Rizal, "Republika ng Pilipinas", 1 Piso, year mark

25-sentimo
Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
25 Sentimo, "Republika ng Pilipinas", year mark

10-sentimo
Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
10 Sentimo, "Republika ng Pilipinas", year mark

5-sentimo

Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
5 Sentimo, "Republika ng Pilipinas", year mark
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1-sentimo
Reverse
Logo of the Bangko Sentral ng Pilipinas

Obverse
1 Sentimo, "Republika ng Pilipinas", year mark

New Generation Currency Series (2010-present)

In 2009, the Bangko Sentral ng Pilipinas announced that it launched a massive

redesign for current banknotes and coins to further enhance security features
and improve durability. The new banknote design features famous Filipinos and
iconic natural wonders. Philippine national symbols will be depicted on coins. To
provide a smooth transition from the New Design Series to New Generation
Currency series, BSP purposely retained some NDS features, such as, the size,
predominant colors and the featured personalities in the NGC, except for the
portrait of President Corazon Aquino which is an added portrait on the 500-piso
note. The BSP started releasing the initial batch of new banknotes on December
16, 2010.

The NGC will co-exist with the NDS approximately until 2014, while BSP is building
up its capability to print and produce NGC banknotes with the latest anti-
counterfeiting security features incorporated through advanced technologies,
benchmarked worldwide. Color plays an important part in the design,
accentuating key elements such as value numerals, seals and note edges. The
inclusion of large intaglio printed numbers on the front differentiates each
denomination to provide assistance for the visually impaired.

1000-peso New Generation Currency Banknote

 Obverse José Abad Santos, Vicente Lim, Josefa Llanes Escoda

 Reverse Tubbataha Reefs Natural Park in Sulu Sea; Pinctada
maxima, South Sea Pearl; Mindanao design for Tinalak (Ikat-
dyed abaca)
 Color Blue
 Description The portrait of Abad Santos, Lim and Escoda were revised,
a scene from the Centennial celebration of Philippine
independence was added on the lower left. The reverse
now features the Tubbataha Reefs Natural Park and the
South Sea Pearl.
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500-peso New Generation Currency Banknote

 Obverse Corazon C. Aquino, Benigno S. Aquino, Jr., EDSA People

Power I, Benigno Aquino monument in Makati City
 Reverse Subterranean Underground River in Puerto Princesa,
Palawan; Tanygnathus lucionensis, Blue-Naped Parrot;
Southern Philippines cloth design
 Color Yellow
 Description The portrait of Benigno Aquino, Jr. was redesigned and a
portrait of his wife, former president Corazon Aquino, was
added, a scene from the EDSA Revolution was added on
the lower left of the obverse and the Ninoy Aquino
Monument was added in the lower middle. The reverse now
features the Puerto Princesa Subterranean River National
Park and the Blue-Naped Parrot.

200-peso New Generation Currency Banknote

 Obverse Diosdado P. Macapagal, EDSA People Power 2001,

Aguinaldo Shrine in Kawit, Cavite, Barasoain Church in
Malolos, Bulacan
 Reverse Chocolate Hills in Bohol; Tarsius syrichta, Philippine Tarsier;
Visayas weave design
 Color Green
 Description The portrait of Diosdado Macapagal was revised, the
Arroyo oathtaking was moved from the reverse to the lower
left of the obverse with the Aguinaldo Shrine at the
background and the Barasoain Church was added on the
lower middle. The reverse now features the Chocolate Hills
and the Philippine Tarsier.
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100-peso New Generation Currency Banknote

 Obverse Manuel A. Roxas, Old BSP building in Intramuros, Manila,

Inauguration of the Third Philippine Republic
 Reverse Mayon Volcano in Albay; Butanding, Rhincodon typus,
whale shark; Bicol textile design
 Color Violet
 Description The portrait of Manuel Roxas was redesigned, a picture of
the old Central Bank building and the inauguration of the
Republic of the Philippines was added on the lower left
corner and bottom center of the bill respectively. The
reverse now features the Mayon Volcano and the whale
shark.

50-peso New Generation Currency Banknote

 Obverse Sergio Osmeña, First Philippine Assembly, Leyte Landing

 Reverse Taal Lake in Batangas; Catanx ignobilis, Maliputo (Giant
trevally); Batangas embroidery design
 Color Red
 Description The portrait of Sergio Osmeña was revised, a picture of the
first Philippine Assembly and Osmeña and General Douglas
MacArthur's landing in Leyte was added on the lower left
corner and bottom center of the bill respectively. The
reverse now features the Taal Lake and the giant trevally.
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20-peso New Generation Currency Banknote

 Obverse Manuel L. Quezon, Declaration of Filipino as the national

language, Malacañan Palace
 Reverse Banaue Rice Terraces; Paradoxurus hermaphroditus
philippinensis, Palm Civet; Cordilleras weave design
 Color Orange
 Descriptio The portrait of Manuel Quezon was revised, the Malacañan
n Palace was moved from the reverse to the bottom center of
the obverse. The reverse now features the Banaue Rice
Terraces and the Palm Civet.

New Generation Currency (NGC) Coin Series

On 26 March 2018, the BSP

released the New Generation
Currency (NGC) Coin Series
comprised of the 10-Piso, 5-Piso, 1-
Piso, 25-Sentimo, 5-Sentimo and the
1-Sentimo into circulation.

These NGC coins feature three national heroes (Apolinario Mabini in the 10-Piso,
Andres Bonifacio in the 5-Piso and Jose Rizal in the 1-Piso), a stylized three stars and a sun in
the 25-, 5- and 1-Sentimo, the BSP logo, and endemic flora consistent with the design of the
NGC Banknote Series that highlights Philippine fauna.

The NGC Coin Series and the BSP Coin-Ed Campaign were among the top three
finalists in the Best New Circulating Coins and Best Public Education Program categories,
respectively, awarded by the International Association of Currency Affairs (IACA) during
the Excellence in Currency 2019 Coin Awards at the biennial Coin Conference in Rome,
Italy on 15 October 2019.

On 17 December 2019, the BSP released the new 20-Piso NGC coin and the
enhanced 5-Piso NGC coin with nine sides which are the latest to be circulated under the
BSP’s NGC Coin Series. The bi-color 20-Piso coin retains major elements of the 20-piso
banknote. The obverse side of the coin features Manuel L. Quezon, while the reverse side
shows the BSP logo, the Malacañan Palace, and the Nilad plant.

The NGC Coin Series design features enhanced the aesthetics and security of the
coins. In particular, micro-printed details using laser-engraving technology were included
in the 20-Piso, 10-Piso and 5-Piso, which makes it difficult for these coins to be duplicated
using traditional coin counterfeiting methods. The metallic composition of the NGC coins
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also discourages the illegal practice of hoarding large quantities of coins for the extraction
of their metal content.

The new 20-Piso and enhanced 5-Piso NGC coins shall co-exist as legal tender with
the currently-circulating 20-Piso NGC banknotes and round 5-Piso NGC coins, which will be
removed from circulation through natural attrition.

The BSP enjoins the public to properly use and recirculate our Philippine coins for their
economic and cultural value.