Japanese yen includes both banknotes and coins. In Japan, you can use "yen" in most places except for international airports and a few select facilities. While credit cards and electronic payments are becoming more common, it's essential to have yen on hand when visiting. Let's first explore the types of currency in Japan. Additionally, we'll provide a detailed explanation of the new banknotes introduced on July 3, 2024, later in this article.

Japanese banknotes come in four denominations: 10,000 yen, 5,000 yen, 2,000 yen, and 1,000 yen. In Japan, banknotes are commonly referred to as "osatsu." All banknotes bear the inscription "Nippon Ginko" (Bank of Japan) since they are issued by the Bank of Japan. Japan's advanced anti-counterfeiting technology makes its banknote printing techniques some of the best in the world.

Here, we'll introduce the most commonly used banknotes in Japan as of July 2024. These banknotes have been in circulation since 2004 and will continue to be used even after the new banknotes are introduced.

10,000 yen

The 10,000 yen note is the highest denomination in Japanese currency. The front features a portrait of Yukichi Fukuzawa, a prominent Meiji-era enlightenment thinker. The back depicts the phoenix statue from Byodo-in Temple in Kyoto.

The previous version of the 10,000 yen note, issued in 1984, also features Yukichi Fukuzawa on the front. However, the back of this earlier version shows two pheasants instead of the phoenix statue. Both versions of the 10,000 yen note remain in circulation today, so you'll encounter two types featuring Yukichi Fukuzawa.

5,000 yen

The 5,000 yen note features a portrait of Ichiyo Higuchi, a novelist and poet from the Meiji era, on the front. The back showcases a portion of the national treasure "Kakitsubata-zu" (Irises) painted by Ogata Korin, a prominent Edo-period artist. This artwork is considered one of the most significant pieces in the history of Japanese painting. Additionally, the 5,000 yen note is notable for being the first Japanese banknote to feature a woman.

2,000 yen

You may not have seen a 2,000 yen note before, as they are relatively rare. Introduced in 2000, the front features Shureimon, a gate at Shuri Castle in Okinawa, which is a UNESCO World Heritage site. The back includes an illustration from the 38th chapter, "Suzumushi," of the national treasure "The Tale of Genji" handscroll, along with a portrait of Murasaki Shikibu, the author and poet of this classic work.

As of June 2024, 2,000 yen notes are not widely circulated, but they remain valid for use. The new banknotes issued in July 2024 did not include a new version of the 2,000 yen note.

1,000 yen

The 1,000 yen note is the most commonly used banknote for everyday transactions, such as payments in restaurants. The front features a portrait of Hideyo Noguchi, a prominent bacteriologist known for his research on yellow fever and a strong candidate for the Nobel Prize. The back showcases iconic symbols of Japan: Mount Fuji and cherry blossoms.

Japanese coins come in six denominations: 500 yen, 100 yen, 50 yen, 10 yen, 5 yen, and 1 yen. The 50 yen and 5 yen coins have a round hole in the center. Coins are often collectively referred to as "kozeni" (small change) in Japan, and individual coins are typically called "xxx yen dama" (e.g., 500 yen dama). Generally, the side with the year inscribed is considered the back, while the opposite side is the front.

500 yen

The 500 yen coin - "Gohyaku En", is the largest in size. The front features a design of the "Paulownia" plant, while the back has "bamboo" at the top and "tachibana" (wild orange) on the sides. This "new 500 yen coin," issued on November 1, 2021, is still not widely circulated as of June 2024. You are more likely to encounter the older 500 yen coins, which are the same size. We'll provide more details about the new 500 yen coin later.

100 yen

The 100 yen coin is made of cupronickel. The front features the characters for "Nihon Koku" (Japan) and "Hyaku En" (100 yen), along with a cherry blossom, symbolizing Japanese spring. The back displays the number "100" and the year of minting. In Japan, the 100 yen coin is frequently used in vending machines and ticket machines, similar to the 10 yen coin.

50 yen

The 50 yen coin is made of cupronickel and has a hole in the center. The front features the characters for "Nihon Koku" (Japan) and "Goju En" (50 yen), along with a chrysanthemum design. The back displays the number "50" and the year of minting. The hole is intended to make it easily distinguishable from other coins.

10 yen

The 10 yen coin is made of bronze. The front features the characters for "Nihon Koku" (Japan) and "Ju En" (10 yen), along with an image of the Phoenix Hall at Byodo-in Temple and an arabesque design. The back displays an image of the evergreen "Tokiwagi" tree, the number "10," and the year of minting. Like the 100 yen coin, the 10 yen coin is frequently used in vending machines and public transportation.

5 yen

The 5 yen coin - "Go En", is made of brass and, like the 50 yen coin, has a hole in the center. The front depicts symbols representing Japan's main industries at the time the coin was first issued in 1959: rice stalks for agriculture, water for fisheries, and a gear for industry. The back features a sprout, symbolizing Japan's rebirth as a new democratic nation after the war. It often cannot be used in vending machines or ticket machines.

1 yen

The 1 yen coin is made of aluminum, making it smaller and lighter than other coins. The front features the characters for "Nihon Koku" (Japan) and "Ichi En" (1 yen), along with an image of a young tree. The back displays the number "1" and the year of minting. It cannot be used in vending machines or ticket machines.

On July 3, 2024, Japan issued new banknotes with updated designs, the first redesign in 20 years since 2004.

The new banknotes are available in three denominations: 10,000 yen, 5,000 yen, and 1,000 yen. They incorporate the latest anti-counterfeiting technologies, and both the images and designs have been significantly revamped.

A major change is the portraits on the front of the banknotes. The reason for including portraits is based on the human eye's ability to detect subtle differences in facial features and expressions, making it an effective anti-counterfeiting measure.

The portraits are chosen based on several criteria: the availability of precise photographs, suitability for a dignified banknote, and recognition and respect for their achievements by the Japanese public. The final decision is made by the Minister of Finance.

10,000 yen note features Eiichi Shibusawa

Eiichi Shibusawa, known as the "Father of Japanese Modernization," is featured on the new 10,000 yen note. Invited by the Meiji government, he served as a bureaucrat in the Ministry of Finance, contributing to policies on minting, census, and treasury matters, deeply involved in building a new Japan. He played a role in establishing and nurturing around 500 companies, including Japan's first bank, Dai-Ichi Kokuritsu Ginko (now Mizuho Bank), and the Tokyo Stock Exchange. The portrait is based on several photographs taken when he was 70 but has been remade to represent his dynamic and youthful appearance in his early 60s.

The back of the note features the historical Tokyo Station (Marunouchi Building), a designated Important Cultural Property, affectionately known as the "Red Brick Station."

5,000 yen note features Umeko Tsuda

Umeko Tsuda, a pioneer in women's education in Japan and the founder of Joshi Eigaku Juku (now Tsuda University), is featured on the new 5,000 yen note. In 1871, at the age of six, she became one of Japan's first female exchange students and spent about 11 years in the United States. She later returned to the U.S. and studied biology at Bryn Mawr College, where her thesis was published in a British academic journal. This made her the first Japanese woman to have a paper published in a Western academic journal. Throughout her life, she dedicated herself to fostering women who could work alongside men as equals.

The back of the note features the wisteria flower, which is mentioned in ancient texts such as the Kojiki and Manyoshu and has been cherished in Japan for centuries.

1,000 yen note features Shibasaburo Kitasato

Shibasaburo Kitasato, known as the "Father of Modern Medicine" in Japan, is featured on the new 1,000 yen note. He studied at Tokyo Medical School (now the University of Tokyo Faculty of Medicine) and later studied in Germany. In 1889, he achieved the world's first pure culture of the tetanus bacillus, which was previously considered impossible.

After returning to Japan, he established the Institute for Infectious Diseases. In 1894, he traveled to Hong Kong to investigate the cause of the plague and discovered the plague bacillus. The portrait on the note is based on several photographs of him in his 50s, chosen to reflect his dignity, stature, and peak professional years.

The back of the note features "article:a0001022The Great Wave off Kanagawa" from Katsushika Hokusai's famous series "Thirty-Six Views of Mount Fuji." The artwork, known for its influence on global artists, also includes a depiction of Mount Fuji in the distance.

In November 2021, the 500 yen coin was also redesigned

Prior to the redesign of the banknotes, a new 500 yen coin was issued on November 1, 2021. The primary reason for the new 500 yen coin was to prevent counterfeiting. The coin features unique diagonal ridges on its edge, with four sections (top, bottom, left, and right) differing from the standard ridges. This "varied diagonal ridge" feature was a world-first for regular currency.

Additionally, the coin is created using a technique that sandwiches different types of metal plates together, encased within a ring made of another type of metal.

While the new 500 yen coin is technologically fascinating, its limited circulation means it might not be accepted by vending machines and ticket machines, so please be aware of this when using it.

The purpose of issuing the new banknotes is to prevent the circulation of counterfeit money. Although the number of counterfeit bills has been decreasing, in fiscal year 2023, a total of 7,681 counterfeit notes were discovered (583 of 10,000 yen, 20 of 5,000 yen, 0 of 2,000 yen, and 78 of 1,000 yen).

To address this issue, the new banknotes incorporate the following advanced technologies:

Even with the issuance of the new banknotes, old banknotes can still be used indefinitely. This applies not only to the most widely circulated "old banknotes" as of June 2024 but also to those issued even earlier (currently, there are 22 types of valid banknotes).

Old banknotes that are no longer issued can be exchanged for currently issued ones at the main and branch offices of the Bank of Japan.

The new banknotes can be used for shopping at stores and in vending machines, just like the old ones.

However, for a while after their release, some vending machines, ticket machines, and currency exchange machines may not accept the new banknotes. Therefore, it is advisable to carry extra coins. Credit cards and electronic payments might also be available in some cases.

As previously mentioned, the new 500 yen coin introduced in 2021 is also not accepted by all vending machines. According to the Japan Vending Machine Manufacturers Association, as of November 2023, the adoption rate of vending machines compatible with the new 500 yen coin is estimated to be around 20% to 30%.

It's a good idea to exchange your foreign currency before arriving in Japan so that you have yen ready to use upon arrival. While you can also exchange money at the airport in Japan, be aware that exchange counters may be closed depending on your flight's arrival time.

After arriving in Japan, you can exchange money at banks, post offices, and some hotels. However, fees vary by location, so it's important to check. Some ATMs also allow you to withdraw yen using cash cards or credit cards issued outside Japan. Recently, more convenience store ATMs have started offering this service, so it's worth checking out your options.

As mentioned earlier, old banknotes can still be used even after the new ones are issued. If you have old banknotes from a previous visit to Japan, you can bring them and use them without any issues.

As of June 28, 2024, here are the exchange rates for Japanese yen. Use these rates as a reference when preparing your yen, but remember that rates fluctuate daily, so check the latest information before your departure.

- USD (US Dollar) = 161.07 yen
- GBP (British Pound) = 203.38 yen
- CAD (Canadian Dollar) = 117.31 yen
- EUR (Euro) = 172.14 yen
- IDR (Indonesian Rupiah) = 0.0098 yen
- THB (Thai Baht) = 4.3674 yen
- AUD (Australian Dollar) = 106.72 yen
- HKD (Hong Kong Dollar) = 20.6281 yen
- CNY (Chinese Yuan) = 22.164 yen
- KRW (South Korean Won) = 0.1162 yen
- SGD (Singapore Dollar) = 118.521 yen
- TWD (Taiwan Dollar) = 4.9428 yen

Here are some important points to keep in mind when using cash in Japan.

In Japan, you can use credit cards and electronic money for payments in addition to cash. However, cash may be the only accepted payment method at event stalls, local shops, souvenir stores, some restaurants, and taxis. Be sure to carry enough cash to cover these situations.

In Japan, credit cards are accepted at most establishments, including restaurants, convenience stores, drugstores, and shopping malls. However, some tourist shops, certain taxis, and ticket machines for public transportation may not accept credit cards. Debit cards, which immediately deduct the payment from your bank account, can be used at some places, but they are not as commonly accepted as credit cards in Japan.

Transportation IC cards are electronic money issued by various railway companies across Japan. Examples include "Suica" by JR East, "PASMO" by major private railway companies, "Kitaca" by JR Hokkaido, "TOICA" by JR Central, "ICOCA" by JR West, and "SUGOCA" by JR Kyushu. These cards are primarily used for paying fares on trains, subways, and buses, but they are also convenient for making purchases at vending machines, convenience stores, supermarkets, and other shops.

The method of obtaining a transportation IC card varies by railway company, but you can generally purchase them at major station ticket counters or from some ticket machines. Additionally, some can be added as apps on your smartphone.

As of July 1, 2024, due to a global semiconductor shortage, the sale of card-based transportation IC cards has been temporarily suspended. For the latest information, check the official websites of the respective railway companies.

Electronic money allows you to load funds onto an app on your smartphone and make payments by displaying a barcode or QR code. This method has rapidly gained popularity in Japan, and you can use it at convenience stores, supermarkets, many other shops, facilities, and vending machines. Major options include PayPay, Rakuten Pay, and LINE Pay. (Note that LINE Pay is scheduled to end service in April 2025, so plan accordingly.)

Traveler's checks, once a popular and secure payment method for international travelers, are no longer sold within Japan. They are also rarely accepted in the country. Therefore, when traveling to Japan, it's best to prepare by bringing cash, credit cards, or electronic money for your payments.

In Japan, credit cards and electronic money are widely used, making transactions convenient in many places. However, there are still many shops, vending machines, and ticket machines at tourist attractions that only accept cash, so it's essential to have cash on hand.

When obtaining cash in Japan, be sure to take note of the new banknotes introduced in July 2024, along with the innovative designs and technologies used in both the banknotes and coins.