Did You Know Cotton Makes Your Money?

A picture of euro notes with a cotton blossom

A recent study shows that 73% of all transactions in the euro area were carried out using cash [1]. Euro banknotes are made of cotton fiber, which improves their durability and gives them a special crispness [2]. Short fibers, a by-product of the textile industry, are used as they are not suitable for making garments. Cotton is a natural and biodegradable product, which modern farming practices are making increasingly sustainable.

Banknotes can also be made using combinations of cotton and linen fibers, or even in some countries like the Philippines, using banana fibers [3]. Bank notes can also be made from polymers [4].

A money printing press with euro notes

How euro banknotes are produced (Source: ECB)

[1] Study on the payment attitudes of consumers in the euro area (ECB)

[2] Banknote production and stocks (ECB)

[3] ​Abaca in Philippine Banknotes (Bangko Sentral Pilipinas)

[4] What Is Money Made Of (Capital Counselor)