Issue of currency
Since its establishment in 1968, the Central Bank of Malta assumed the responsibility for the issue and control of currency notes and coins in Malta. The first series of Maltese currency notes was issued by the Central Bank of Malta in September 1969. Throughout these years the Central Bank of Malta issued various series of notes with the latest series, the fifth, being issued in September 1989.
On 16 May 1972, the Central Bank of Malta issued its first series of decimal coinage. Prior to this date Malta still used British coins. The first Maltese decimal coins consisted of the 50 cent, 10 cent, 5 cent, 2 cent, 1 cent, 5 mils, 3 mils and 2 mils coins. Subsequently the 25 cent coin and the Lm1 coin were introduced.
With the introduction of the euro in Malta on 1 January 2008, the Central Bank of Malta became responsible for the issuance of euro banknotes in accordance with the principles and rules established within the Eurosystem. With the approval of the Eurosystem, the Bank issues euro banknotes in Malta and is responsible for ensuring the quality and authenticity of the banknotes in circulation. The Bank houses a Currency Surveillance Unit which analyses every banknote that is suspect to be counterfeit.
Care is taken to ensure that the denominations in circulation reflect demand. Notes that are unfit for circulation are regularly withdrawn and destroyed, and replaced with new notes.
The Central Bank of Malta also issues euro coins in Malta on behalf of the Government of Malta. The volume of euro coins issued is subject to prior approval by the European Central Bank in terms of Article 128 of the Treaty on the Functioning of the European Union.