Canadian currency to go plastic next year

Paying with plastic will take on a whole different meaning next year as the Bank of Canada begins introducing plastic dollar bills.

The federal government announced in its budget yesterday that it is “taking steps to modernize Canada’s currency and protect against counterfeiting,” introducing a new currency printed on a polymer material.

Plastic bills have proven to be more durable than the current cotton-based money, reportedly lasting four times as long.

Polymer money has other benefits too: it is cleaner, cheaper to produce and harder to counterfeit than cotton-based paper bills.

The bills are also more green — because the money lasts longer, it will cause a lower impact on the environment, the federal government contends.

The plastic banknote was first introduced in Australia and several countries have since adopted the polymer money, including New Zealand, Mexico and Vietnam.

According to the federal budget, Canada’s loonies and toonies will also be undergoing a transformation in 2011, with a new composition that uses the Royal Canadian Mint’s cheaper “patented multi-ply plated steel technology.”

www.thestar.com