BSP employees turn polymer banknotes into Davao school chairs

DAVAO CITY — The Bangko Sentral ng Pilipinas Employees Association Inc. donated close to 100 classroom armchairs made 100% from recycled Philippine polymer banknotes deemed unfit for circulation to Doña Pilar L. Marfori Elementary School on July 22.

The Banknote-to-Armchair Project gives worn-out and damaged polymer notes a productive end-of-life use while providing furniture to a public school selected through a needs assessment.

The initiative also offers a way to prevent retired currency and banknote-manufacturing byproducts from becoming waste as more polymer notes complete their circulation cycle.

BSP Deputy Governor Mamerto E. Tangonan and BSP Mindanao Regional Office officer-in-charge Jason P. Capocao led the ceremonial turnover with association President Brent S. Lucero and Currency Policy and Integrity Department Director Eloisa T. Glindro.

School Principal Eloisa Questo received the armchairs on behalf of Doña Pilar L. Marfori Elementary School.

The association produced the chairs through a partnership with Envirotech Waste Recycling Inc., a private recycling company that transforms unfit polymer banknotes and manufacturing byproducts into durable classroom furniture.

“Polymer banknotes follow a planned lifecycle from circulation to recycling. End-of-life management is built into their design,” Tangonan said.

Lucero said the project considered conditions in the community before choosing its recipient.

“The beneficiary school was selected based on an assessment of needs and priorities on the ground,” Lucero said.

The recycling project supports the environmental objectives behind the country’s shift toward polymer banknotes.

The BSP describes polymer banknotes as smarter, cleaner, and stronger than paper banknotes because of their security features, non-absorptive surfaces, and longer service life.

The central bank says polymer notes can last two to five times longer than paper notes, reducing how often damaged currency must be replaced and lowering long-term banknote issuance costs.

From 2022 through May 2026, only 0.02% of the PHP 1,000 polymer banknotes issued by the BSP to banks were returned as worn-out or damaged.

By comparison, 54.75% of the PHP 1,000 paper banknotes issued during the same period were returned to the BSP because they were worn-out or damaged.

The BSP said it had not received any unfit lower-denomination polymer banknotes since those notes were first issued in December 2024.

The PHP 1,000 polymer banknote entered circulation in April 2022 before the central bank introduced the First Philippine Polymer Banknote Series in December 2024, which includes PHP 1,000, PHP 500, PHP 100, and PHP 50 notes.

Existing paper banknotes remain legal tender and continue to circulate alongside polymer notes.

The BSP said adopting sustainable disposal and recycling systems will become increasingly important as larger numbers of polymer banknotes reach the end of their usable lives in the coming years.

The Banknote-to-Armchair Project shows how currency management, waste reduction, and community assistance can be combined to produce direct benefits for public school students.