NEXT GENERATION US CURRENCY

| | | |

NEXT GENERATION US CURRENCY

The US Department of the Treasury, Bureau of Engraving and Printing (BEP), issued a Presolicitation Notice March 9 indicating a requirement for public relations and advertising services for the Public Education and Awareness Campaign for Next Generation U.S. Currency (BEP-02-05).

Two thirds of United States currency circulates abroad. As the most widely used currency in the world, US notes are also the most likely to be counterfeited. Since 1996, the United States has been issuing currency with new security features. These features make American currency easier to recognise as genuine and more secure against advancing computer technologies, such as reprographic and digital imaging systems, that could be used for counterfeiting.

Of particular concern to the Federal Reserve and the United States Secret Service is the use of personal computers, scanners, and color printers to counterfeit money. As a result, the US Government is developing an enhanced currency design available for issuance as early as 2003. This currency redesign project is generally referred to as the next generation of currency, or NexGen.

The percentage of counterfeit currency appearing worldwide remains small. Last year, the Secret Service reported seizures of $211 million in counterfeit notes worldwide. Of the nearly $600 billion of genuine currency in circulation, far less than 1% is counterfeit, or about nine notes in a million. There has been a marked increase in the number of computer-generated notes passed in the United States. Five years ago, less than one-percent of counterfeits seized domestically were computer generated. That number is now nearly 40%.

Although the overall percentage of counterfeit notes is minimal, any perceived tolerance of counterfeit seriously undermines the broad government interest in maintaining the integrity of the currency. As a means to hamper computer-generated notes, advanced designs have been developed that incorporate anti-counterfeiting features.

As early as fall 2003, the NexGen notes will be issued. Thus, by late 2002 all target audiences (law enforcement, financial institutions, general public, vending, transit and gaming industries, etc.) must be initially informed about the new design features and the other critical messages of the public education campaign.

The primary emphasis of the campaign is awareness -- to prepare the public and target audiences for the change in design and issuance of the NexGen notes. Encouraging the public to take a closer look at their money to check that it is genuine is the secondary aspect of the campaign, referred to as the "authentication" component. Since NexGen notes will co-circulate for some time with previously issued designs it will be important to remind the public to look at the older designs as well, since these notes may continue to be counterfeited. Redesigned notes that were issued beginning in 1996 will be referred to as New Currency Design (NCD) notes.

The Bureau of Engraving and Printing (BEP) has identified target audiences inside the United States, as well as throughout the world. Key foreign countries for the campaign include Russia, Turkey, Argentina, Peru, Ecuador, Mexico, and the Philippines, but the campaign shall also include countries in various stages of dollarization and other parts of the world that could be affected.

Proposal submissions are indicated by April 9 2002.

Profile Services Search Trade Analysis Updates
Contacts Trade News Policy Street Link To Us Site Search