Counterfeit Banknotes Decline as Detection Improves

The Bangko Sentral ng Pilipinas (BSP) documented a 17 percent decline in counterfeit banknotes in 2025, with improved security features and wider public awareness strengthening the detection of fake currency. Data from the BSP’s 2025 annual report showed that recorded counterfeit banknotes fell to 57,945 pieces from 69,925 pieces in 2024, equivalent to 10 counterfeit notes for every one million genuine banknotes in circulation, an improvement from 13.2 parts per million a year earlier. "This reduction reflects the effectiveness of enhanced banknote security features that made counterfeiting more difficult, alongside increased public awareness and expanded training that strengthened counterfeit detection capabilities," the BSP stated. Paper banknotes continued to account for nearly all reported counterfeits at 56,587 pieces in 2025, down by 19.1 percent from the previous year, representing 97.7 percent of total counterfeit banknote submissions. Counterfeit polymer banknotes rose to 1,358 pieces from only three in 2024, though the BSP noted polymer bills remain relatively resilient against counterfeiting, making up just 0.6 percent of all counterfeit banknotes recorded since their introduction in 2022. The government initially introduced the polymer P1,000 bill in 2022 before expanding its use to other denominations. Inkjet printing was the most common technique used by counterfeiters, accounting for 63.3 percent of documented cases, followed by laser printing at 33.5 percent, and alteration of security threads at 3.1 percent. Nearly half of reported counterfeit banknotes were found in Metro Manila, which accounted for 45.3 percent of the total, with Calabarzon a distant second at 11.3 percent. Counterfeit currency was commonly recovered in areas with heavy pedestrian activity, with shopping malls accounting for 33.9 percent of reported recoveries, followed by supermarkets at 23.8 percent and wet markets at 17.6 percent. Meanwhile, recorded counterfeit coins increased in 2025 but remained below one part per million of genuine coins in circulation. The BSP documented 1,505 counterfeit coins from the old BSP Coin Series, up by 68.9 percent from 891 pieces in 2024. No counterfeit coins from the New Generation Currency series were reported in either year. The central bank stated that most of the counterfeit coins were remnants from previous years and mainly involved five-piso coins from the older series. Micro-printed details and laser-engraved designs incorporated into the New Generation Currency coins have helped deter counterfeiting attempts. The BSP, together with partner government agencies, conducted five law enforcement operations involving currency-related offenses last year. Among these were simultaneous buy-bust operations in Siquijor and Boracay Island against an organized group accused of defacing, mutilating, and destroying legal tender. The group allegedly removed the inner cores of 10-piso coins and converted them into jewelry sold to tourists.