Banknotes

A botched redesign of banknotes has caused a cash crunch in Nigeria. The country’s digital payments infrastructure has been unable to meet the public’s demand for cash.

In Argentina, inflation has exceeded 30% every year since 2018. Cash in the hands of the public has increased rapidly since late 2019.

Queen Elizabeth II’s passing marked the beginning of a complex redesign and updating of banknotes and coins in the United Kingdom and many countries worldwide.

After record growth in 2020, global demand for banknotes has returned to a normal situation. More recently, rising inflation and increasing interest rates have been negatively impacting cash balances. More concerning is the decreasing transactional use of cash, which puts pressure on the cash infrastructure. The cash community should make the case that cash is part of a critical public infrastructure, the maintenance and development of which should be financed accordingly.

Afghanistan has faced a severe liquidity crisis and financial collapse since the return of the Taliban in August 2021, aggravated by a shortage of banknotes. New banknotes are due to arrive from overseas.

In 2021, global cash demand returned to a normal pre-covid distribution, which is quite remarkable after the exceptional growth in 2020. Looking forward, demand will be influenced negatively by rising interest rates and positively by geopolitical tensions. More than ever, a well-functioning cash infrastructure is essential to meet volatile demand.

Imagine Currency is a charitable initiative where 100% of the proceeds from the auction will be donated to Go Give One campaign run by the WHO Foundation to purchase COVID-19 vaccines for the most vulnerable and under-vaccinated countries.

Cash remains the dominant payment instrument in Poland. In January 2021, currency in circulation grew 39% year on year due to increased precautionary demand. Cash spiked after the Russian invasion of Ukraine in February 2022.

The European Central Bank (ECB) has announced plans to redesign euro banknotes, working with European citizens in a process that is expected to lead to a final decision in 2024.

The exceptional growth of the volume of banknotes in circulation in 2020 illustrate global trust in banknotes. The shift of demand towards middle and high-denomination notes demonstrates the importance of the store of value function of cash, particularly in times of uncertainty.

Amandine Blier, Communication Manager at Citéco and a jury member of the IMAGINE CURRENCY photo contest, shares her vision of the future of money. Discover her questions, her doubts, but also her favourite ideas!

The IMAGINE CURRENCY photo contest is still ongoing and designer of banknote security elements, Reto Karrer, shares his tips and inspirations to help you make your unique creations possible.