BIN Global Central Bank Survey Results

Banknote Industry News (BIN) surveyed 36 central banks at the end of 2020 with a wide range of questions.

Two thirds of those surveyed did not change their banknote handling practices in the pandemic, neither disinfecting nor quarantining notes. The 25% who have changed their practices, continue with them. Although a quarter said that trust and confidence in banknotes had been reduced by the pandemic, 69% said there was no change.

The survey asked if different substrates would change the public’s confidence in banknotes. Although 62% did not perceive a difference between paper and polymer substrates, 18% thought composite and polymer notes could increase confidence in banknotes and 39% thought new varnish coatings could.

Hoarding was felt to have increased during the last year by some central banks, although 47% did not agree that it had increased. When asked whether special security features would be interesting for those ‘store of value’ notes, 29% agreed.

Asked about priorities for 2021, the most stated areas of interest were:

• Cash handling

• Environmental sustainability

• Increased banknote durability (but without increasing the costs by much)

• Better level 1 security features

• Better protection against viruses and bacteria (including disinfecting during sorting)

• Reducing cash cycle costs.

40% of those surveyed will either continue or start work on possible future Central Bank Digital Currencies.