The Bank of Uganda has issued a warning against the use of banknotes and coins as gifts by individuals and businesses in the gifting industry.
In a statement seen by The Kenya Times, published on Wednesday, November 22, the institution stated that there was a concern over the destruction of the bank notes in the process of gifting.
The warning was especially directed towards florists, designers, gifting stylists and clients of the above mentioned.
In addition, the statement explained that the practice mutilated and defaced or compromised the integrity of Uganda Shilling currency.
Also Read: Uganda Mocks Kenya After Posting JKIA Leakage Video
Comon Uses of Cash in Gifts Highlighted by the Statement
Specifically, the Bank of Uganda cautioned against the making of bouquets and other creations that included the use of glue or cello-tapes.
Likewise, any such creations that also included the use of pins, clips and adhesive materials were prohibited.
“Florists, designers, gifting stylists, and their clients are particularly cautioned to avoid using currency banknotes and coins in making bouquets or any like creations.
“This mainly involves the use of brand-new banknotes that are stuck together using glue, cello-tape, pins, clips, and other adhesives or fasteners as part of floral bouquets for various social events and gifting ceremonies,” the statement read in part.
Bank of Uganda Explains Reason for the Move
Giving reason for the move, the institution stated that the practice made the cash unusable in cash processing and distribution equipment such as cash counting machines and ATMs.
Further, the statement noted that the use of adhesive materials forced the monetary institution to withdraw the cash from circulation leading to an increase in the cost of replacement.
The cost, according to the Bank of Uganda was incurred by the citizens.
Also Read: Lazy Ugandans to be Beaten to Learn How to Become Rich
“This practice destroys the utility of banknotes making them unusable in cash processing and distribution equipment such as cash counting machines and ATMs, which are a critical part of the cash distribution systems.
“It also results in the premature withdrawal from circulation and replacement of banknotes at an avoidable cost to the public,” added the statement.
However, the institution clarified that outside of the prohibited conditions, Ugandan citizens were free to gift each other as much money as they wanted.
“Whereas the Bank does not object to using cash as a gift, this exchange should conform to the normal use of currency to facilitate payment transactions,” indicated Kenneth Egesa, Bank of Uganda Director of Communications.
