Banknote Market Report 2026

The banknote market size has grown strongly in recent years. It will grow from $13.84 billion in 2025 to $14.57 billion in 2026 at a compound annual growth rate (CAGR) of 5.3%. The growth in the historic period can be attributed to continued reliance on cash transactions, expansion of currency circulation in developing economies, government control over legal tender issuance, established printing and minting infrastructure, demand for secure physical currency.

The banknote market size is expected to see strong growth in the next few years. It will grow to $17.89 billion in 2030 at a compound annual growth rate (CAGR) of 5.3%. The growth in the forecast period can be attributed to increasing emphasis on anti-counterfeiting technologies, rising focus on sustainable currency materials, expansion of cash usage in informal economies, modernization of banknote production facilities, growing demand for longer-lasting banknotes. Major trends in the forecast period include increasing adoption of polymer banknotes, rising integration of advanced anti-counterfeiting features, expansion of hybrid printing technologies, growing focus on durable currency materials, strengthening central bank currency management.

The increase in cash-based transactions is expected to drive the growth of the banknote market in the coming years. A cash transaction involves the exchange of physical currency, such as coins or banknotes, as a means of payment. The rise in cash usage is influenced by factors including economic uncertainty, reliance on the informal economy, security preferences, and the prevalence of small-value transactions. Banknotes play a central role in facilitating these transactions by serving as a widely accepted and convenient medium of exchange. For example, in July 2025, according to Federal Reserve Financial Services, a US-based government-linked financial services organization, U.S. consumers made an average of 48 payments per month in 2024, with cash accounting for 14% of all payments by number. Therefore, the growing volume of cash transactions is contributing to the expansion of the banknote market.

Major companies operating in the banknote market are increasingly focusing on the development of advanced products, such as commemorative polymer banknotes, to strengthen security features and extend currency lifespan. Commemorative polymer banknotes are printed on polymer substrates, offering greater durability and resistance to wear compared with traditional paper notes. These banknotes often feature distinctive designs that celebrate historical events, cultural heritage, or notable figures, making them functional currency as well as collectible items. For instance, in February 2023, CCL Secure, an Australia-based designer and manufacturer of polymer banknotes, collaborated with Polish Security Printing Works (PWPW), a Poland-based banknote producer, to launch the Guardian 20 złoty banknote. This innovative currency incorporates advanced polymer technology to improve durability and resistance to wear, while showcasing a vibrant design that highlights Polish heritage and achievements. The banknote also integrates advanced security elements, including microprinting, color-shifting inks, and embedded holograms, providing strong protection against counterfeiting.

In April 2023, Authentix, a US-based provider of authentication and information services, acquired Royal Joh. Enschedé for an undisclosed amount. Through this acquisition, Authentix aimed to strengthen its secure printing and anti-counterfeiting capabilities, expand its product portfolio, and extend its global presence in combating counterfeit goods and brand fraud. Royal Joh. Enschedé is a Netherlands-based printing company specializing in the production of custom banknotes.

Major companies operating in the banknote market are Banque de France, Bank of Canada, Deutsche Bundesbank, Bank of England, Reserve Bank of India, Federal Reserve System, European Central Bank, Swiss National Bank, Bank of Japan, People’s Bank of China, Sveriges Riksbank, Banco de España, Banca d’Italia, Banco Central do Brasil, South African Reserve Bank, Reserve Bank of Australia, Bank Negara Malaysia, Bank Indonesia, Bangko Sentral ng Pilipinas, Bank of Thailand, Central Bank of Egypt, Central Bank of Nigeria, Bank of Korea.

North America was the largest region in the banknote market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the banknote market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the banknote market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The banknote market consists of sales of currency handling equipment, color-shifting inks, watermarks, holograms, and security threads. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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