Govt approves Rs10 coin to replace banknote, new currency designs

The federal cabinet has approved the introduction of a Rs10 coin to replace the existing Rs10 banknote as part of a broader plan to introduce newly designed currency notes with enhanced security features.

The decision was taken at a cabinet meeting chaired by Prime Minister Shehbaz Sharif on Wednesday, according to a statement issued by the Prime Minister’s Office.

The cabinet also approved the designs of new currency notes on the recommendation of the Ministry of Finance.

It was informed that proposals had been invited from artists and designers across the country, while a cabinet committee constituted by the prime minister had held detailed consultations with all stakeholders.

The meeting was informed that the new banknotes would feature enhanced security measures to prevent counterfeiting. Modern materials would also be used to increase the notes’ durability and extend their service life.

The approval to replace the Rs10 banknote with a coin comes after the State Bank of Pakistan (SBP) proposed discontinuing the denomination amid rising production costs.

In August, SBP Deputy Governor Dr Inayat Hussain informed the Senate Standing Committee on Finance and Revenue that the central bank had proposed withdrawing the Rs10 banknote after the introduction of the new currency notes.

The committee was also informed that approximately one year would be required to introduce the new banknotes into circulation. The printing cost of a Rs5,000 banknote was approximately Rs14, according to a Senate Secretariat statement.

During the meeting, the SBP deputy governor said the existing Rs5,000 banknote had been introduced in 2005 and technological advancements had made counterfeiting easier.

The central bank had initiated the process of designing and issuing a new series of banknotes covering all existing denominations in January 2024. It subsequently launched an art competition in March 2024, inviting innovative and thematic design proposals.

In September 2024, the SBP announced the winners of the competition, while in March 2025, Security Papers Limited awarded a Rs3.4 billion paper machine upgrade project to German firm Giesecke+Devrient (G+D).

The project was expected to be completed within 18 months.

The cabinet also ratified decisions taken by the Cabinet Committee on State-Owned Enterprises at its October 26 meeting and the Cabinet Committee for Legislative Cases at meetings held between January and September 2026.