Seoul: The volume and value of damaged banknotes declined last year as fewer bills were returned amid rising demand for cash, the central bank said Tuesday. The Bank of Korea (BOK) discarded 364.01 million damaged banknotes last year, down 23.3 percent from 474.89 million notes destroyed in 2024.
According to Yonhap News Agency, in terms of value, the destroyed banknotes totaled 2.84 trillion won (US$1.93 billion) in 2025, down 15.9 percent from 3.38 trillion won a year earlier. Damaged banknotes include those burned in fires, those deteriorated by moisture due to improper storage, and those crushed under floor coverings.
The decline was largely attributable to a drop in returned banknotes, driven mainly by increased currency demand stemming from lower market interest rates, the BOK said.