In 2015, the Banque de France spun off its paperSee Banknote paper. More mill into a separate legal entity, Europafi. Europafi is the leading publicly-owned paper mill in Europe, and the Eurosystem’s largest manufacturer of banknotes, having produced a total of almost 24 billion banknotes since the euro’s launch in 2002 (22.5% of the total volume to dateThe year in which a medal or coin was minted. On a banknote, the date is usually the year in which the issuance of that banknote - not its printing or entering into circulation - was formally authorised. More). Currently, banknoteA banknote (or ‘bill’ as it is often referred to in the US) is a type of negotiable promissory note, issued by a bank or other licensed authority, payable to the bearer on demand. More production takes place in two sites: the paper mill is in Vic-le-Comte, and the printworksA plant for producing banknotes and other security documents. Printworks can be either state or central bank-owned or run by commercial companies. More are in nearby Chamalières, both in the Auvergne region.

The Banque de France is also a key player in the international banknote market. Each year, Europafi allocates more than half of its capacity to manufacture banknotes and security documents for printing plants other than the Banque de France. The same is true for the Chamalières printworks, where more than half of the capacity goes to printing currencies other than the euroThe name of the European single currency adopted by the European Council at the meeting held in Madrid on 15-16 December 1995. See ECU. More for some twenty countries around the world.

Investment in a New Banknote Facility

Last week, the Banque de France announced the construction of new banknote printworks on the site of its paper mill in Vic-le-Comte (Puy-de Dôme).

The €220 million industrial investment aims to meet three challenges:

• Perpetuate the sovereign activity of banknote production in France, whereas several European countries have recently given up on it.
• Develop an industrial tool aligned with the national climate and energy objectives, amplified by the crisis in Ukraine.
• Improve the working conditions and the competitiveness of existing banknote printing in a context of increasingly acute public and private competition.

The new facilities will enable the optimization of printing processes, thanks to the acquisition of new state-of-the-art equipment. The investment and plans to enhance competitiveness will improve printing’s economic efficiency. The renovation will reduce the environmental footprint by cutting greenhouse gas emissions by 50%. The new facilities will also enhance the working environment for employees.

Plans contemplate the transfer of banknote printing activities to the new site for 2026.

This investment represents a significant effort to mobilize public moneyFrom the Latin word moneta, nickname that was given by Romans to the goddess Juno because there was a minting workshop next to her temple. Money is any item that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular region, country or socio-economic context. Its onset dates back to the origins of humanity and its physical representation has taken on very varied forms until the appearance of metal coins. The banknote, a typical representati... More (€220 million); it makes sense if it enables the printing of banknotes at the best price in the long term.  France will then have the most modern, efficient, and environmentally sustainable public banknote production centre in Europe.

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