LEGAL TENDER (BRYAN)

Any kind of money which according to law, must be generally accepted when offered as payment
for any obligation expressed in terms of the countrys monetary unit. In the Philippines, peso is a legal
tender.
CURRENCY
Any kind of money which has limited acceptability expressed in a monetary unit. Money of other
countries are currencies because of their limited acceptability in the Philippines.
MONETARY SYSTEM
In any country the monetary system consists of the aggregate of money in use, the values of the
various types of money being organically related to one another in both formal and substantive ways. In a
system, there is standard money and unit of account and every type of money is either a multiple or submultiple of that unit, that is, there are various denominations. There is also provision for converting one
type of money into another, or rendering fiduciary money by standard money, on parity or other basis.
The monetary system of a country is a national affair. The central government usually acquires a
monopoly or near control of monetary affairs, minimizing state and local differences and facilitating
production and trade on a national basis. Each country enacts its own coinage, banking, and other
monetary legislation. The monetary system in a country is determined by law. Laws are passed from time
to time, adding new types of money or modifying existing types, to meet special emergencies of a
financial or a political character. Chief determinant in the selection of the monetary standard is the
relative stability of value attained under each standard. This criterion is very important in the choice
between a full metallic standard money and a fiduciary standard money, and the choice between the
fiduciary standard money that may be used by the particular country.
Stability of money is more frequently used to signify the constancy of its purchasing power over
goods in general. This use of stability does not imply that the unit of money has equal command at all
times over any particular commodity, such as grains or service; but rather that the average price of all
goods is constant, and the unit of money will buy the same amount of all commodities. Stability of money
value, therefore, refers to the stability of purchasing power over a considerable list of commodities or
services used as a sample. If the average price remains constant, the assumption is that the purchasing
power of money has stayed constant, although the prices of the individual commodities composing the list
may have varied considerably in different amounts and directions. Another concept of stability of money
value is its purchasing power constancy in foreign markets, that is, the exchange rate between our home
country peso and currencies of foreign countries.
KINDS OF MONETARY STANDARDS
MONOMETALLIC STANDARD
Gold Standard
A monetary system in which the monetary unit kept at par with a fixed weight or value of gold.
Money was backed up by gold coins and gold bullion. Stability of money value and exchange rates were
observed under this standard because of fixed gold value.
Gold coin standard. Monetary unit is defined in terms of coin containing a certain amount of gold
with prescribed purity of fineness. Gold coins were an alloy of gold and other base metals. Such coins are
referred to as nine-tenths fine. It was also legal to melt down at will gold coins at any quantity. Gold that
were presented to the mint were minted into coins at little or no cost to the supplier of metal.
The legal and institutional elements of this concept had been gradually pieced together a century
or more of history, and were as follows:

1) A standard unit of account and of value was defined by law as consisting of a fixed weight of
gold of specified fineness. For instance, the dollar was defined as 25.8 grains of gold or 0.9
fineness.\
2) The gold unit was made a full and unlimited legal tender in payments between citizens and to and
by the government.
3) The free and unlimited coinage of gold was provided for holders of gold-bullion, subject to such
brassage or seigniorage charge as the government might make.
4) Subsidiary and token coinage was on government account, and for these coins the legal tender
was limited and the market value of the metal content was less nominal value of the coin. These
coins were made convertible into gold coins.
5) No effort was made by the government to control the supply of gold coins; this was left to the
will and convenience of bullion holders, varying with the output of the mines, the consumption of
the industrial arts, the balance of international payments, the relative popularity of gold coins and
credit substitutes.
6) Gold reserves were maintained to provide for the free and unhindered convertability of all forms
of government paper money, bank notes and deposits, into gold coin at part. The free and
unrestricted circulation of gold coins was permitted; the relative proportion which gold coins bore
to the total circulation varied with the convenience of the people.
7) The government stood ready to purchase at a fixed price unlimited quantities of gold from anyone
presenting it and to sell to any applicant with equal freedom.
8) No penalty of any kind moral, civil or criminal was imposed on hoarders of gold.
9) The free movement of gold from money into the industrial arts and from the arts into money was
authorized. At convenience, the holder of paper or other currency might redeem it in gold coins
and convert them to bullion, and the holder of surplus bullion might sell it to the mint at a fixed
price.
10) Gold was free to move internationally; it might be exported or imported at the will of bankers,
merchants, or others. Since its cost of transportation was low, gold tended to have an equal value
(purchasing power) in all countries.
11) The international movement of gold was the result of all factors determining the international
balance of payments. There was an automatic stabilization of exchange rates.
Gold bullion standard. All gold is under the control of government and made it possible to issue a
larger amount of money on the same gold regulating the money supply and this makes international
monetary management easier.
This transition from gold coin standard to gold bullion standard makes a decided change in the
concept of the gold reserve is no longer designed to meet withdrawals for domestic circulation, but
merely for export or for the arts.
Gold exchange standard. Under this system, the money of a country is redeemable not in gold but
in the currency of a country. Philippine money was then redeemable in dollars to which the Philippine
government had a claim because it had deposits in American banks.
The gold exchange standard was born from some experiments in sterling rupee exchange, the
pound sterling being gold, and the Indian rupee silver. In the early part of the twentieth century it found
frequent use, particularly between parent countries and their colonies, and between the older countries
and the newly developed countries.
Silver Standard (LAURA)
The monetary standard is based upon silver as the standard metal. The set up under silver
standard and its operation are same as those described for gold standard. Types are silver coin standard,
silver bullion standard, and the silver exchange standard.

In most respects the demand for silver is like that for gold. In fact, they have been substitute
articles on the demand side of the market, whether for use as money, or as a raw material for industry, or
as a jewelry or ornament. Being substitutes, the one tends to support the value of the other. The most
important change in demand is the tendency to demonetize silver since England led the way in 1816 and
particularly after 1873. This tendency made silver by purchasing more than the worlds annual output. In
any case the monetary demand is very capricious and erratic, depending as it does upon legislation and
administrative discretion, as well as upon the cyclical and other changes in the need for subsidiary coins.
The demand is rendered even more erratic by the governmental habit of substituting fractional paper
money for silver coins, or using baser metals, or lower fineness, or smaller coins.
BIMETALLIC STANDARD
This use both gold and silver in the coinage. This monetary standard provides for broader metallic
base in the event of gold stock shortage. Purchasing power of money is more stable due to nondependence on single metal value. Government freely coins both metal and makes both available in
quantities desired. In this standard, Greshams Law is apparent, which states when several types of money
exist in an economy, the one which is overvalued as money in relationship to the others will circulate
while the others will disappear from circulation.
Both gold and silver have the same nominal value or face value, in a bimetallic standard. The real
value of gold or silver will depend on their supply if there is a greater supply of silver, then real value or
price of silver will decline. Supposing the nominal value of silver as coin money is Php10.00, but its real
value as a metal is only Php5.00, then silver is overvalued as money. In this case, both gold and silver
have the same nominal value of Php10.00. since the real value of silver is only Php5.00, people will not
use gold as money but sell it as a commodity, since its real value is higher than its nominal value. This
illustrates the principle of Greshams law.
Bimetallism was based upon the assumption that it was desirable to use both metals
simultaneously as the standard of value. It was argued that a higher stability of price levels would result,
since price levels could rise or fall only as the combined volume of the two metals rose or fell, that is, in
so far, as price levels are determined by the volume of the metals devoted to monetary uses, and that the
probability was small that the two metals would change in value in the same direction and in the same
degree at the same time.
The bimetallic system of alternate gold or silver contrasts with the so-called limping standard
in which one metal, the undervalued one, remains the standard metal while the coins of the other metal
possess a fiduciary character. Under the limping system the minimum value of the silver coins would be
the market value of their silver content; the maximum value would be their face amount; and they would
circulate at their face value because they would be a full legal tender.
FIAT STANDARD
This is a monetary system in which the face value of the money is higher than the value of
materials used for coinage. Types are utopian paper standard, involuntary fiat standard and managed
currency standard. Under utopian paper standard, the seal of the government and mark of legal tender
qualify money to be acceptable as payment for goods and services. Involuntary fiat standard came to the
scene when the government was not able to redeem money under gold standard thereby accepted paper
money as other form of legal tender. Inconvertible paper standard came to the scene wherein paper bills
were accepted as a medium of exchange. These bills are inter-convertible with other denominations of
money on demand. Managed currency standard makes use of inconvertible paper money that is
irredeemable by reason that it is issued against no reserve. In 1949, the Philippines was on a managed
currency system. This was the time that the countrys monetary system begins to be under the
administration of the Central Bank of the Philippines.

CHARACTERISTICS OF PHILIPPINE CURRENCY

The Bangko Sentral shall have the sole power and authority to issue currency, within the territory
of the Philippines. No other person or entity, public or private, may put into circulation notes, coins or any
other object or document which, in the opinion of the Monetary Board, might circulate as currency, nor
reproduce or imitate the facsimiles of Bangko Sentral notes without prior authority from the Bangko
Sentral.
Notes and coins issued by the Bangko Sentral shall be liabilities of the Bangko Sentral and may
be issued only against, and in amounts, not exceeding the assets of the Bangko Sentral. Said notes and
coins shall be a first and paramount lien on all asstes of the Bangko Sentral.
The Monetary Board, with the approval of the President of the Philippines, shall describe the
following features of notes and coins:
a.
b.
c.
d.
e.

Denominations this includes the face value of each coin arid paper bill
Dimension these are the sizes of coins and paper bills
Designs and inscriptions the graphics or text imprinted on each money
Colors variations in color of each denominations for easy recognition
Weight this includes the paper weight and metal; weight of the alloy for coins

The said notes shall state that they are liabilities of the Bangko Sentral and are fully guaranteed
by the government of the Republic of the Philippines. Said notes shall bear the signatures, in facsimile, of
the President of the Philippines and of the governor of the Bangko Sentral. In the mintingof coins, the
Monetary Board shall give full consideration to the availability of suitable metals and to their relative
prices and cost of minting.
The Monetary Board shall prescribe the amount of notes and coins to be printed and minted,
respectively, and the conditions to which the printing of notes and the minting of coins shall be subject.
The Monetary board shall have the authority to contract institutions, mints or firms for such operations.
All expenses incurred in the printing of notes and the making of coins shall be for the account of
the Bangko Sentral.
The Bangko Sentral shall exchange, on demand and without charge, Philippine currency for any
denomination requested. If for any reason, the Bangko Sentral is temporarily unable to provide notes or
coins of the denominations requested, it shall meet its obligations by delivering notes and coins of the
denomination which most nearly approximate those requested. This refers to the inter-convertibility of
currency the placement of notes and coins with another denomination for the same value.
The Bangko Sentral shall withdraw from circulation and shall demonetize all notes and coins
which for any reason whatsoever are unfit for circulation and shall replace them with adequate notes and
coins for the same denomination and same value. Notes and coins, whose identification is impossible,
shall not be replaced by the Bangko Sentral. Coins which shows signs of filing, clipping or perforation,
and notes which have lost more than two-fifths (2/5) of their surface, lost serial number and all of the
signatures inscribed therein shall be subject for replacement, without compensation to the bearer.
The Bangko Sentral may call for notes of any series or denomination which are more than five (5)
years old and coins which are more than ten (10) years old.
Notes and coins called in for replacement shall remain legal tender for a period of one (1) year
from the date of call. After this period, they shall cease to be legal tender but during the following year, or
for such longer period as the Monetary Board may determine, they may exchange at par; and without
charge to the Bangko Sentral and by agents duly authorized for this purpose. After the expiration of this
latter period, the notes and coins which have not been exchanged shall cease to be a liability of the
Bangko Sentral and shall be demonetized.

The Bangko Sentral maintains a Currency Retirement Division responsible for verification and
evaluation of notes and coins for replacement or retirement. After evaluation and subject to replacement,
the bills are burned in the incinerator for a week under heavy supervision by the Bangko Sentral officials
or security groups.
PHILIPPINE NUMISMATIC HISTORY (ANGELICA)
EARLY COINS
Money, to all civilization, is a medium of exchange or something to spend. Long before man
began to use coins and bank notes, many objects served as money. In the Philippines, during the early
times, barter was practiced where one simply exchange his goods with another persons goods. Their
inconvenience of the barter system led to the adoption of certain objects as media of exchange. These
items consisted of sea shells, gold dust, fiber cloth, betel nuts, coconuts, beads and even pearls.
Between the 8th to the 14th centuries, our ancestors began trading in gold. Gold ornaments and
barter rings were used specifically when trading with the Arabs and the Chinese. A coin in the form of a
button-shaped gold nugget was next developed as a medium of exchange. This coin was called a
Piloncito, named after sugar receptacles they resembled called pilon.
The inscription at the base of the piloncito has been interpreted as representing the syllable ma
in the ancient script. It is presumed that ma stood for MA-I, a name that the Philippines was called
during the pre-hispanic times.
CURRENCY DURING THE SPANISH OCCUPATION
When the Spaniards came in 1521, they brought with them the first European coin called the
Teston. This was the first silver coin ever seen by the natives.
With the advent of Spanish colonization came the Galleon trade. The earliest coins brought to the
country from Mexico were the Macuquinas or the Cobs. These were irregular , oddly-shaped coins
stamped with a cross on one side and a royal coat of arms on the other. These coins circulated from 1585
to 1768.
In 1732, during the reign if King Phillip the fifth of Spain, the first rounded machine struck
coins with milled edges appeared. These coins called Dos Mundos or Columnarias bore one of the most
beautiful coin designs ever produced. In 1772, King Carlos the third, succeeded the Spanish throne and
changed the design of the Dos Mundos coins with his bust portrait. Thus, the succeeding bust portrait
became the traditional coin design for succeeding rulers. During these times, the Philippines was greatly
dependent on Mexico for its currency. Because of this, coin shortage problems occurred. What the
Philippines lack were coins of lower denominations or loose change.
This led to the production of Barillas, the first copper coins minted in the Philippines. The earliest
Barilla was minted in 1728 but the first historically documented copper coin was dated 1766. This Barilla
featured a castle with a crown on top and the legend Ciudad de Manila 1766 on one side. The reverse
bore a crowded shield and a monogram. The name Barilla became incorporated into the Tagalog word
Barya meaning loose change or miner coins. These coins circulated till 1836.
In 1810, the Galleon Trade brought a variety of new coins from Mexico, Peru, Chile, Bolivia,
Argentina and all colonies of Spain which had either gained or were still fighting for their independence.
The authorities in Manila were afraid that these coins would influence the Filipinos into fighting for their
own independence. So, they tried to stamp out the coins origins by counter-stamping them. From 1828 to
1830, the counter-stamp consisted of the word Manila in the center and the date below.
In 1832, the counter-stamp consisted of a small circular depression within which was a crown of
pearls and initials F7 for King Ferdinand the Seventh. This counter-stamp was later changed into y2
for Queen Isabel the Second who succeeded the throne in 1834. The counter-stamping when Spain began

to recognize her former colonies as independent states. In 1852, during Queen Isabel the Seconds reign,
paper money was introduced. These notes were known as Pesos Fuentes and were issued by the newly
established El Banco Espanol Filipino de Isabel Dos. Five, ten, twenty-five, and one hundred pesos
fuertes were issued measuring four by six inches. These notes were worded in Spanish and carried the
portrait of the Queen. These notes were issued till 1896.
Still during the Queens reign, the first mint, the Casa Moneda de Manila was established in
1861. The Manila Mint struck one, two and four peso gold coins bearing the Queens bust of arms on the
other. For the first time, the countrys name, Filipinas, appeared on the coins. By 1864, the Manila Mint
started producing silver coins in minor denominations of ten, twenty and fifty centavos de peso. These
coins bore the portrait of the Queen and later of King Alfonso the 12 th. These coins were minted until
1898, when production stopped with the end of the Spanish rule.
Silver pesos, however, were produced in Madrid in 1897. Six million silver pesos were minted for
exclusive use of the Philippines. The coins bore the profile of the young King Alfonso the 13 th on one side
and the legend Islas Filipinas on the other. These coins were later known as the Spanish-Philippine peso
and served as legal tender until the Americans demonetized them in 1904.
CURRENCY OF THE FIRST PHILIPPINE REPUBLIC
In 1896, revolution broke out with the Katipuneros against the Spaniards. As a result, Yje First
Philippine republic was proclaimed on June 12, 1898. Its first president, General Emilio Aguinaldo took
steps to adopt a national currency system.
As Aguinaldo decreed, the army arsenal in Malolos struck two types of copper coins in two
centavo denominations. The first type was smaller and featured the sun in the center, with three stars
above an island. The second had a triangle with the sun in the center, and a star within each point in the
triangle. These coins are very rare and it is possible that they were only coin patterns and were not issued
at all, since the first Philippine Republic was short-lived.
Aguinaldo also ordered the production of paper money. However, only one and five peso bills
were printed. The notes were individually hand-signed by Pedro Paterno, the secretary of Interior of the
Republic.
The pure silver Dos Mundos, with the design of two crowned globes between the pillars of
Hercules were widely used during the Spanish period. Some of the earlier issued were the Phillip V 4Reales and the Ferdinand VI 8-Reales.
After the arrival of the Spaniards in 1521, trade was conducted using irregularly shaped coins
hammered in Mexico. Varieties of these silver coins, popularly called hilis kalamay, bore the seals of
Spanish rulers Charles II, Phillip IV and Phillip V.
CURRENCY DURING THE AMERICAN OCCUPATION
The American came at the turn of the century and established a new monetary system. The
system was based on a gold standard and provided for a Philippine peso pegged to the American dollar at
a ratio of two to one. This means that one dollar was of equal amount to two Philippine pesos. Provisions
were made for silver coins in one peso, fifty, twenty and ten centavo denominations. Designed by Melecio
Figueroa, these coins featured a standing female figure with windblown hair in her native costume. These
coins were minted in the United States. Base metal coins in one-half, one and five-centavo denominations
were also minted, again bearing designs by Figueroa. One side of the coin featured a man clutching a
hammer and sitting by an anvil on the left. The reverse bore the American shield and eagle. These coins
were minted in the United States until 1919. Then, the former Manila Mint, now The Mint of the
Philippine Islands opened and struck the coins until 1941. During the war, no coins were minted in the
country. From 1944 to 1945, all coins were again minted in the United States.

The first paper currency issued by the Americans were Silver Certificates which the bearer could
redeem in gold or silver coins. These certificates were the first to carry the Philippine peso mark. Two,
five, tenty, twenty, fifty, one hundred, and five hundred peso certificates were issued. In 1919, these
certificates were replaced by Philippine Treasury Certificates. The first bank notes, however were issued
by the old Banco Espanol Filipino. These notes were worded in Spanish and were printed in the United
States. In 1912, the banks name was changed to Bank of the Philippine Islands. The succeeding notes
were worded in English. In 1916, the Philippine National Bank was established. This bank issued notes in
two, five, twenty and one hundred peso denominations. By 1918, one peso bill was added. These notes
were made in the United States and were issued till 1937. In 1948, they were withdrawn from circulation.
CURRENCY OF THE COMMONWEALTH ERA (CHARLENE)
In 1935, the country was granted the status of a Commonwealth by the United States. To
commemorate the event, three silver coins were issued, designed by Ambrosio Morales. These were two
one peso coins. One had the conjoined busts of Presidents Roosevelt and Quezon the first time a living
US president was depicted on a coin. The other had the conjoined busts of Governor General Murphy and
President Quezon. The fifty centavo coin depicted the busts of Murphy and Quezon facing each other
with a sun in the center. All these coins had a common reverse the coat of arms of the Commonwealth,
the legend USA above the date 1936 below.
As regard paper money, issued during this period, several changes took place. The new
Commonwealth seal was used in all the series issued. The signature of President Quezon replaced that of
Governor General Murphy and the single word Philippines was used in lieu of Philippine Islands. On
October 20, 1944, the United Stated force led by General Douglas MacArthur brought in new Philippine
Treasury Certificates. These notes had the word Victory overprinted in bold black letters. These bills
continued to be in use even after 1949, but were then only redeemable in silver coins.
CURRENCY DURING THE JAPANESE OCCUPATION
The Japanese occupation from 1941 to 1945 brought the worst record of inflation into the
country. Currency was issued in great volumes; with notes ranging from one centavo to one thousand
pesos. These were called by the Filipinos as Mickey Mouse Money. However, military forces and loyal
civillians throughout the country issued their own paper money known as Guerilla Currency. These notes
were printed by resistance fighters from Kalinga, Apayao, Bohol, Leyte, Samar, and other provinces.
However, these notes were not accepted by everyone since the Japanese tortured and even killed person
who were found using them. In was during this period that silver coins amounting around fourteen to
seventeen million pesos were dumped into the waters of Caballo Bay, in the southern part of the Island of
Corregidor, before the surrender of the Philippine American forces. This was done in order to keep the
money from falling into the hands of the Japanese.
After the war, the Philippine government tried to salvage these coins but only around twelve
million of the total amount sunk has been recovered. The remaining silver coins are still in accounted for
and may still be buried under the sea.
CURRENCY OF THE PHILIPPINE REPUBLIC OF 1946
On July 4, 1946, the Philippines was granted independence. In 1949, the Central Bank was
established, bringing it a new monetary policy called the Managed Currency System. This policy freed the
existing system from the rigidity of gold and silver standards which, in the past, was the basis for the
issuance of money. At this time, the Victory certificates were still in use. With the establishment of
Central Bank, these notes became liabilities of the bank and were overprinted with the Banks name in
bold red ink on the reverse. These notes were used until July 30, 1964.
The Central Banks first issue, however, were notes in one, two, five, ten, twenty, fifty, one
hundred, two hundred and five hundred peso bills were withdrawn from the circulation in 1957. The rest

of the bills were printed until 1961. The Central Bank also issued notes in five, ten, twenty, and fifty
centavo denominations. These bills were made to replace the worn out coins minted during the American
occupation. Coins were also issued, using designs of the pre-war era. These coins had inscriptions in
English, but featured the coat of arms of the Republic on the reverse this is the English series. The coins
were minted in the United States till 1963, and in England and West Germany from 1965 to 1966. These
coins were finally withdrawn from circulation on August 31, 1979.
In 1967, coinage series were introduced with radical changes in design, sizes and metallic
compositions. These coins featured designs resulting from a nationwide contest and depicted historical
personages with inscriptions in Filipino. Thus, these coins are known as the Filipino Series. In 1972, the
one peso was brought back in circulation.
In 1969, the Central Bank likewise started issuing paper currency in Filipino. Filipino heroes
were featured in the notes, and greater security measures were taken against counterfeiters.
In 1973, President Marcos decreed the issuance of the currency called the Bagong Lipunan
Series. The 1969 bank notes were then overprinted with the legend Ang Bagong Lipunan over the
watermarked section of the bill. These are the notes circulating as of 1989. With the Bagong Lipunan
Series, radical changes in coin design have produced. For the first time, non-rounded coins were minted,
likewise the square one peso coins; and the scallop-edged five centavo coin. The one peso coin was also
reduced in size that makes handling easier. All coins in this series bear the legend Ang Bagong Lipunan
and the seal of the Central Bank. As of 1980, these coins are circulating with the Filipino coin series.
The latest currencies produced and issued are the Central Bank Series and New Bangko Sentral
Series.
DESIGN OF THE NEW PHILIPPINE BANKNOTES (RHEY MARK)
10-PISO
Obverse: Portrait of Apolinario Mabini, Sublime Paralytic and Brain of the Katipunan. El Verdadero
Decalogo and quill with the bottle of ink appear on the right side. Apolinario Mabini was one of the
great minds behind the historic struggle for Philippine independence. Despite the paralysis which
disabled his legs at the age of 32, he pursued his vision for National Freedom using his analytic mind and
his pen against the Spaniards and later the American authorities.
Reverse: Barasoain Church in Malolos, Bulacan. The Curch of Barasoain in Malolos is one of the
towering landmarks of the Philippine Revolution. It was there that six crucial months between the years
1898 and 1899, the first Filipino Legislative Assembly, the Malolos Congress, sat in session to propose,
deliberate and decide on the fate of the newly proclaimed independent Philippine State. Finally, on
January 20, 1899, the Malolos Constitution was approved by the members of Congress.
20-PISO
Obverse: Portrait of Manuel L. Quezon, First President of the Philippine Senate and the Commonwealth
of the Philippines. The seal of the Commonwealth and two scrolls representing the Saligang Batas 1935.
The Commonwealth Government under Quezon was the last step toward complete independence for the
Philippines.
Reverse: Palasyo ng Malakanyang viewed from across the Pasig River where the Presidents of the
Philippines spend their residency during their terms.
50-PISO
Obverse: Portrait of Sergio Osemena, First Speaker of the Philippine Assembly. A gavel signifying his
speakership and the monument erected in Fuente Osmena, Cebu City, appear on the right side.
Reverse: The old Philippine Legislative Building.

100-PISO
Obverse: Portrait of Manuel A. Roxas, First President, Republic of the Philippines. The ceremonies in
Luneta marking the birth of the Philippine Republic on July 4, 1946 appear on the right side.
The flag ceremony shown on the right side was based on a photograph on page 416 of the book
Pictorial History of the Philippines by Reyes, and others, a portion of the caption of which reads as
follows:
The proudest moment in over 400 years of the Filipino peoples struggle for liberty came in the
morning of July 4, 1946 when the American flag was hailed down and the Filipino flag went up to wave
for the first time, along and unchallenged in the Philippine skies.
Reverse: Montage of the old and new Central Bank Building, the concept of which can be attributed to
President Roxas when a bill establishing Central Bank was drafted under his direction as Secretary of
Finance and subsequently approved by the Philippine Legislature in 1939.
500-PISO
Obverse: Portrait showing Senator Benigno Ninoy Aquino, Jr. in a sullen mood. Opposite is the
Philippine flag and below it are the words: Faith in our People and Faith in God, an expression of his
determination to return to his country with one great faith to offer. He believed that the Filipino is worth
dying for, a statement that is in itself power that moved the Filipinos to continue Ninoys struggle. The
dove conceptualizes freedom. The typewriter seen on the far right side represents the equipment he used
when he was a newspaperman.
Reverse: We see the Filipino Christians, Muslim brothers and the religious hand in hand, a boy and a lady
offering flowers to the military, an interpretation of reconciliation; and a dove that made possible a
peaceful revolution. Shown also is a bill Ninoy sponsored The Study Now Pay Later Plan which
pictures his concern for the education of the youth. Other illustrations depict as a war correspondent to
Korea and as a Governor in Tarlas.
1000-PISO
Obverse: Composite portraits of Jose Abad Santos, Josefa LLanes Escoda and Vicente Lim, all heroes
martyred by the Japanese Armed Forces during World War II. Jose Abad Santos representing the
Philippine Government, Mrs. Escoda representing the women and Vicente Lim representing the military.
The eternal flame at the Libingan ng mga Bayani symbolizes the respect and honor for the unknown
heroes who gave up their lives for the country in World War II.
Reverse: Panoramic view of the Banawe Rice Terraces representing Luzon, Manunggul (boatmen
journeying into eternity) representing the Visayas; and Langgal (Muslim Mosque) representing
Mindanao.
The Banawe Rice Terraces, popularly called stairway to heaven is consider the eighth wonder
of the world. The Manunggul jar, one of the burial jars of the ancient Filipinos dates back around 800
B.C. The jar is incontestably the handiwork of an ancient artist. Langgal is sometimes called ranggar by
the Maranaos in the south. It is the Muslim place of worship.
These three vignettes in the 1000-Piso banknote project a new cultural image of the greatness of
the Filipino people here and abroad.