Currency
Currency Benchmarks 2023 report – steady as they go
Data hints cash is slowly changing from payment method to store of value
Central Banking’s Currency Benchmarks 2023 suggest cash is in a slow decline as a means of payment. However, among 17 of the central banks that responded, more than two-fifths of transactions in 2022 were still in cash. Though it is true that cash is used for only a tiny share of payments in a few northern European countries, it remains used for a much larger share of transactions in some developing countries, or even in other parts of Europe.
Charts
Patchy recycling processes
Less than half of central banks recycle all of their banknotes once they reach the end of their life. A further 9.4% manage to recycle more than half of unfit notes, and 6.3% recycle some but less than 50%. The remaining 43.8% do not recycle any notes. The figure is a slight improvement on the 2020 benchmark, when 48% of central banks said they do not recycle at all.
The breakdown by income groups shows that high income countries are more likely to carry out recycling initiatives. For the full breakdown, use the benchmarking service’s interactive charts to explore the data.
Model banks analysis – Currency 2023
Explore key differences between central banks across economy groups
Currency data
View the full breakdown of responses to the Currency Benchmarks.
Previous years
Currency 2023
Currency 2022
Currency 2021
Currency 2020
Currency Benchmarks 2023 – model banks analysis
Data reveals how advanced and emerging market central banks structure their currency operations
Currency Benchmarks 2023 report – steady as they go
Data hints cash is slowly changing from payment method to store of value
Middle income countries recall highest volume of worn banknotes
High income jurisdictions remove notes with the highest average value
Banknote recycling remains limited at most central banks
Just a few institutions track carbon footprints of banknotes
Banknotes rarely portray current monarchs or presidents
Central banks favour other historical figures, but few institutions feature people from minority groups
Covid-19 impact on cash demand minimal in past year
Majority of currency departments relax pandemic countermeasures
Central banks tend to outsource banknote printing
De La Rue is most commonly used printer among respondents
Most central banks forecast currency demand over 1–3 years
Minority of institutions use big data for forecasting purposes
Fewer than 100 staff work in currency divisions on average
Duties including upholding Covid-19 countermeasures in some jurisdictions
Average value of counterfeit banknotes rises
UV ink the most common security tool used in battle against fake banknotes
Polymer adoption stalls in 2023
Only two benchmark respondents have concrete plans to change substrate
Central banks maintain average of four cash centres
Figure has remained stable for the last five years