Governor Selimović opens 56th TAG conference

Today in Sarajevo, the Governor of the Central Bank of Bosnia and Herzegovina (CBBH), Jasmina Selimović, Ph.D. opened the 56th TAG (Technical Advisory Group) conference within the Banknote Processing Systems International Users Group, which is attended by 57 representatives of central banks, printing houses and financial institutions from 25 countries around the world.

The CBBH, which has been a member of the BPS International Users Group (BPS IUG) since 2011 and primarily uses BPS-type banknote processing machines in its work related to banknote processing, is hosting the TAG conference for the first time, which usually brings together representatives of central banks that own a large number of BPS machines, such as the USA, UK, France, Germany, Italy, Austria, India, Turkey and other countries. BPS machines are evidently market leader in the world in terms of sophisticated banknote processing systems and the largest number of central banks, as well as printing houses for the production of banknotes, use this equipment. This is highly sophisticated equipment with very complex technical characteristics that must ensure adequate determination of the quantity of banknotes, verification of authenticity and fitness for circulation, and ensure the processing of banknotes with high processing speed.

At the beginning of her presentation, Governor Selimović presented the activities and role of the Central Bank of Bosnia and Herzegovina, emphasizing its importance in preserving monetary stability and confidence in the country's financial system.

Welcoming the attendees, Governor Selimović pointed out the fact that cash payments are extremely common in Bosnia and Herzegovina and that cash remains the most common payment method, although other forms of non-cash payments are also in use, such as payment cards, the Internet and mobile banking.

“The Central Bank’s vaults process large quantities of banknotes by machine every day, and it is of utmost importance that the machine processing of banknotes ensures adequate verification of the banknotes authenticity, the accuracy and reliability of checking the quantity of counted or destroyed banknotes, as well as sorting banknotes by quality into fit and unfit banknotes for circulation. Adequate verification of banknotes protects the integrity and quality of the domestic currency in circulation, as well as the reputation of the CBBH,” said Governor Selimović.

The CBBH has been using BPS systems for processing banknotes for more than two decades, introducing highly sophisticated and high-quality equipment into its work processes when replacing machines.

“According to our policies, the quality, durability and security features of KM banknotes, as well as the quality and durability of KM coins, should be at the level of technological standards in the countries of the European Union. In this regard, the Central Bank of Bosnia and Herzegovina has established detailed technical characteristics of KM banknotes in terms of paper quality, printing, security features, and technical characteristics of KM coins,” emphasized the Governor.

The Governor also emphasized that the process of withdrawing old convertible mark banknotes from circulation is underway, with only banknotes that contain identical and improved protection against counterfeiting remaining in use. She also emphasized that the Central Bank of Bosnia and Herzegovina, with the support of the Presidency of Bosnia and Herzegovina, has initiated a process of improving the security features of existing convertible mark banknotes. The improvement will ensure a more modern appearance of the banknotes, greater resistance to counterfeiting, and an extended lifespan of banknotes in circulation.

The CBBH is aware of the importance of exchanging information and experiences in the use of the BPS system, and considers the TAG conferences to be exceptional opportunities for improving cash management operations. The conference will last until April 10, 2025.