More Cash, Less Speed: Reading the Signals on Cash Health in Asia

Currency in circulation (CIC) is often the first data point that is referred to when considering where cash is going and the health of cash systems. And on this measure, there are positive signs across many Asian markets. In an initial sample of eight economies, CIC grew between 45% and 349% over the period 2016 to 2024. In these markets, all have seen CIC grow in every year except Malaysia (0.2% decline in 2022, otherwise growth) and Australia (1.6% decline in 2023, current CIC is at an all-time high).

Further, CIC as a percentage of GDP has tended to hold steady or to grow. This indicates that currency is covering more of the output of the country now than it was 10 years ago.