The National Bank of Ukraine will begin withdrawing banknotes of 1, 2, 5, and 10 hryvnias from 2003–2007 series starting in March. The banknotes will cease to be legal tender and will be replaced by corresponding circulating coins. This was reported by the NBU, according to UNN.
From March 2, 2026, banknotes of 1, 2, 5, and 10 hryvnias from the 2003–2007 series will be replaced by corresponding circulating coins. From this date, these banknotes will cease to be legal tender and will be withdrawn from cash circulation. They will not be usable for cash payments, and all retail chains, service enterprises, banks, and financial institutions will not accept them for payments for goods, services, and payment operations.
The National Bank noted that citizens will have enough time to exchange their existing 1, 2, 5, and 10 hryvnia banknotes. They can be exchanged for circulating coins and banknotes of all denominations currently in circulation, without restrictions and without charging a fee for such exchange:
- in all branches of Ukrainian banks – within one year from the date of their withdrawal from circulation, until February 26, 2027, inclusive;
- in authorized banks (JSC "Oschadbank", JSC CB "PrivatBank", JSC "Raiffeisen Bank", JSC "PUMB") – within three years from the date of their withdrawal from circulation, until February 28, 2029, inclusive;
- at the National Bank – currently indefinitely.
The NBU explained that 1, 2, 5, and 10 hryvnia banknotes are currently almost never encountered in retail trade; citizens rarely use them for payments. Their average lifespan is about 2.5 years. This means that the banknotes of these denominations that were still in circulation are essentially worn out.
Their gradual withdrawal by Ukrainian banks, authorized banks, and the National Bank began almost six years ago:
- from October 1, 2020 – 1 and 2 hryvnia banknotes;
- from January 1, 2023 – 5 and 10 hryvnia banknotes.
Circulating coins of 1, 2, 5, and 10 hryvnias have been in circulation for many years (circulating coins of 1 and 2 hryvnias were introduced on April 27, 2018, 5 hryvnias on December 20, 2019, and 10 hryvnias on June 3, 2020). The lifespan of coins is significantly longer than that of banknotes, lasting about 20-25 years," the NBU added.
The transition to payments with corresponding circulating coins is already familiar to citizens, it does not create inconvenience for them, and at the same time benefits both the state, banks, and retail chains. In particular, it contributes to:
- reducing the costs of the state and cash circulation participants for processing, transporting, storing, and circulating such banknotes;
- improving the quality of cash in circulation, given the wear and tear of such banknotes, which have been in circulation for almost 23 years, including almost eight recent years – simultaneously with coins of corresponding denominations;
- improving the convenience of cash payments for the population and businesses.
Recall
In October, Ukraine began the gradual withdrawal of 10-kopeck coins. During October-November, banks have already withdrawn over 1.2 million coins from circulation.