Belgium finalises euro note, coin switchover plans

Belgium announced on Feb 6, 2001, its final plans for the switch to euro notes and coins in 2002, a mammoth logistical task which is set to mobilise all 12 euro zone countries in the second half of this year. Belgium's "Euro Commission" said banks and security firms would start receiving Belgium's estimated two billion euro coins, weighing 9,000 tonnes, and 530 million bank notes from September 1, 2001.

Consumers and retailers cannot use the new currency until January 1, 2002 but Belgians will be able to buy euro "minikits", comprising a number of euro coins worth an equivalent 500 Belgian francs, to familiarise themselves with the new money from December 15, 2001.

The government said it would also encourage companies to distribute kits to their employees.The European Central Bank has banned distribution of euro notes to individuals ahead of January 1, despite protests from Belgium, among other countries, and retailers, who fear there could be a cash crunch in early 2002.

Under guidelines agreed at euro zone level, retailers should give change in euros, from January 1, to people paying with large national notes. Belgium's government said retailers would be obliged to do so "to the extent that it is possible".

Euro zone banks have largely shunned an ECB request to load automatic teller machines (ATMs) with only five and 10 euro notes, meaning there may not be enough small denomination notes to go around.Belgium said its banks would put 20 and 50 euro bank notes in their ATMs, but at counters priority would be given to the distribution of smaller notes.

The "Euro Commission" added that while the Belgian franc would cease to be legal tender from midnight on February 28, 2002, francs could continue to be changed for free at commercial banks and the post office until the end of 2002.

The National Bank of Belgium would continue to change Belgian franc coins for free until end 2004. There would be no time limit for changing notes at the central bank, the Euro Commission said.To make the switchover easier, Belgium said it planned an "open drawers" scheme between October 15 and November 15, 2001, to encourage citizens to collect old, loose change.