Japan has introduced new banknotes featuring advanced holographic technology to prevent counterfeiting, marking the country's first redesign in twenty years. The bills display 3D portraits of prominent figures such as Eiichi Shibusawa on the 10,000-yen note, recognised as the pioneer of Japanese capitalism, which change direction depending on the viewing angle. That technology, claimed by Japan's National Printing Bureau as the world's first for paper money, enhances security against counterfeiting.

See the fresh faces of Japanese currency with new designs for the 10,000 yen, 5,000 yen, and 1,000 yen banknotes! Each boasts historical figures key to Japan's modernization and anti-counterfeiting technologies including 3D holograms.https://t.co/ohV1BU2eAL#NewBanknote pic.twitter.com/zhkuJAhLpM

While instances of counterfeit banknotes have decreased, Japan plans to issue 7.5 billion of these new bills by the end of the fiscal year, supplementing the existing 18.5 billion banknotes in circulation. The initiative has spurred businesses such as train stations and vending machine operators to upgrade payment systems. Despite the growing popularity of cashless transactions, cash remains significant for its convenience and security in Japan.

Why does this matter?

The banknote redesign aligns with Japan's efforts to revive its economy, aiming to stimulate consumer spending and enhance productivity. Nevertheless, some businesses are cautious about the additional costs of upgrading machines amidst inflationary pressures. The government's emphasis on digitalisation reflects broader economic strategies amidst changing payment trends.