Currency in Japan: banknotes, coins, and how to pay in yen?

The official currency of Japan is the Japanese yen. The international code for the Japanese currency is JPY, and its symbol is ¥. In Japanese, it is written as 円, a character meaning "round," and is pronounced "en." The spelling "yen" comes from an old transcription: even the Bank of Japan recognizes that its exact origin is not established.

Japanese law establishes the yen as the sole unit of nominal value. The sen (one hundredth of a yen) and the rin (one tenth of a sen) still exist on paper, but only as units of calculation: no coins have represented them since 1953. In daily life, everything is therefore counted in whole yen, without cents.

The Japanese currency is issued by two entities. The Bank of Japan, the country's central bank, issues banknotes. Coins, on the other hand, are minted by the Japan Mint on behalf of the Japanese government.

As a traveler, remember one thing: only yen is accepted for payment. No euros or dollars in the shops. You must therefore have access to yen, in cash or by card, as soon as you arrive in the country.

The history of the Japanese yen begins in 1871, with the establishment of the yen by the Meiji government. This implementation brought the archipelago into the modern monetary system. The new currency law then replaced the system inherited from the Edo period with a decimal unit: 1 yen = 100 sen = 1,000 rin, and 1 yen corresponded to 1.5 g of gold.

Key dates in the history of Japanese currency:

• 1871: introduction of the yen by the Meiji government.
• 1882: the Bank of Japan opens its doors on October 10, and becomes the central bank that issues banknotes.
• 1897: Japan adopts the gold standard.
• 1931: Bank of Japan notes are no longer convertible into gold.
• 1942: new law on the Bank of Japan and transition to a managed currency.
• 1949: after World War II, the American occupation government set the exchange rate at ¥360 to the dollar.
• 1953: the sen and the rin disappear from payments, only the yen remains in use.
• 1971: the fixed rate changes to ¥308 to the dollar.
• 1973: end of fixed rates, the yen becomes a floating currency.
• 2004 then 2024: two new series of banknotes.

Since 1973, the exchange rate of the yen has evolved on the foreign exchange market according to the Japanese economy, international trade, and the central bank's monetary policy. Today, it is one of the major currencies used worldwide. We speak of a "strong yen" when one yen buys a lot of foreign currency, and a "weak yen" in the opposite case. For a European traveler, a weak yen is good news: your euro gives you more yen. We detail the impact on spending in our article on the budget for a trip to Japan.

How much is 1 dollar in Japanese yen? The exchange rate of the yen changes every day. On October 8, 2026, according to the European Central Bank reference rates, $1 was worth approximately ¥158. In other words, ¥100 is worth about $0.63.

To convert in your head, divide the price in yen by 158, or more simply, remove two zeros and multiply by 0.63. Here are the conversions based on the ECB exchange rate on October 8, 2026 ($1 ≈ ¥158.28, calculated from the euro-dollar and euro-yen rates):

So, is 1,000 yen a significant amount in Japan? No: it's the smallest banknote, the equivalent of approximately €5.65. Japanese people use it for small daily expenses, a simple meal, a drink, or a subway ride. For examples of local prices, check out our article on the budget for a trip to Japan.

Once there, a currency converter on your phone does the calculation in a second, provided you are connected.

The rate you personally receive will never be exactly the same as the ECB rate. Every bank, currency exchange office, or ATM applies its own margin and sometimes fees. This is what makes the difference between two ways of exchanging money, as seen below.

Yen banknotes and coins are easily recognizable: each denomination has its own size, color, and portrait. Japanese currency currently has four banknotes and six coins in circulation.

Japanese banknotes in circulation

The new banknotes from the Bank of Japan have been issued since July 3, 2024. Each new banknote gradually replaces the old one of the same value. They highlight three figures from Japanese culture and the modern economy:

The 2024 banknotes feature a three-dimensional hologram: the portrait appears to turn when you tilt the note. According to the Bank of Japan, this is a world first on a banknote. Large numbers and tactile markers also help to distinguish the values.

The ¥2,000 banknote still exists, but it is very rarely in circulation. You have little chance of coming across one, and it is easily confused with the ¥1,000 one. If you are given one, it is perfectly valid.

Japanese coins

Six Japanese coins are in circulation today:

The ¥5 and ¥50 coins are the only ones with holes: the hole helps to recognize them by touch. The two-tone ¥500 coin was released on November 1, 2021, but the older versions remain accepted. Coins are extremely useful because prices rarely end in round numbers: a coin purse is a real plus.

Are the old banknotes still valid?

Yes. The Bank of Japan states it clearly: an issued banknote remains valid, unless a special measure is taken. Therefore, the 2004 banknotes (Fukuzawa, Higuchi, Noguchi) remain in circulation alongside the new ones, and those from 1984 are also still valid. If you kept some yen from a previous trip, you can use them.

Keep some coins on you anyway: drink vending machines and some ticket machines swallow a lot of them.

A limit for paying in coins

Japanese law sets a legal limit: the legal tender status of coins is limited to twenty times their face value. A merchant can therefore refuse a payment consisting of a large pile of small coins of the same denomination. It's not an issue in daily life, but avoid emptying your entire stock of ¥1 coins at the checkout.

Good news: using money in Japan is easier than before. According to the Ministry of Economy (METI), 58% of household payments were cashless in 2025. Credit cards represent the majority of these payments (82.7%), followed by QR codes (10.2%), electronic money (3.7%), and debit cards (3.4%). The government aims for 65% cashless payments by 2030.

But 58% also means that cash payment remains frequent. Cash remains the safest way in several places:

• temples and shrines, sites of traditional culture (offerings, amulets, entrance fees for small sites);
• small restaurants, izakayas, and street food stalls;
• the markets, the festivals, and the yatai;
• ryokans and family-run accommodations in the countryside;
• meal ticket machines in some restaurants;
• buses and shops in rural areas.

Conversely, in large cities like Tokyo, Osaka, or Kyoto, cards are accepted in retail chains, major hotels, konbini, department stores, and most train stations.

How much cash should you bring? There is no official figure. The simplest way is to have enough to cover your first few days, then withdraw more as needed from an ATM. If you are carrying a large sum, please note that Japanese customs requires a declaration for amounts exceeding ¥1,000,000 in cash (or the equivalent in foreign currency), both upon entry and exit.

There are three ways to change euros into yen: before leaving, upon arriving in Japan, or by withdrawing yen directly with your bank card. The first two involve a currency exchange office, and the third uses an ATM. To change euros into yen at the best price, everything depends on the applied exchange rate and the fees.

Where to buy yen before leaving?

To buy yen in your country, you can go through your bank or a currency exchange office, either in person or online with home delivery. It is reassuring to arrive with some cash, but the rate is often worse than a local withdrawal, and some banks need a few days to order a less common currency. Always compare the offered rate with the daily rate. For the rest of your checklist, see how to prepare your trip to Japan.

Arriving in Japan

All major Japanese airports have currency exchange counters in the arrival hall. It's practical for getting your first yen right away. Don't exchange your entire travel budget at the airport: just take enough to last the first few days, then use an ATM.

Withdraw with your bank card

It's often the simplest option: you withdraw yen from a Japanese ATM using your usual card. Your bank applies its own exchange rate and foreign withdrawal fees, which should be checked before you leave. Some travel cards or neobanks reduce these fees.

A trap to avoid: if the ATM or the payment terminal offers to charge your card in your own currency rather than in yen, choose yen. This on-the-spot conversion (dynamic currency conversion) applies its own rate, which is generally less advantageous than your bank's rate.

Currency exchange offices in Japan are primarily concentrated in airports and tourist districts. Here is where to find them:

• Airports: Narita, Haneda, and Kansai have counters in the arrival halls (Travelex, GPA, local banks). Haneda Terminal 3 has a counter open 24/7. Narita (Terminal 2) and Kansai also have automated exchange machines open 24/7.
• Banks: they offer currency exchange services, but they close early, often around 3 p.m.
• City counters: specialized shops, such as World Currency Shop, can be found in major shopping districts.
• Hotels: some large hotels exchange money for their guests, at rates that are rarely good.

For the best rate, the currency exchange office is not always the right answer: a withdrawal from an ATM with a low-fee card is often cheaper. The currency exchange office remains useful if you have brought euro banknotes.

To withdraw money in Japan, forget about small local banks: many Japanese ATMs do not accept cards issued abroad. Three networks do it without any issues:

Major banks such as Mitsubishi UFJ (MUFG), SMBC, or Mizuho also have ATMs compatible with certain Visa or Mastercard cards, according to the Japan National Tourism Organization. Hours vary depending on the location: not all are open 24/7.

Regarding withdrawal fees, Seven Bank does not publish a fixed amount: they depend on your card brand. Add your own bank's fees. To limit the bill, make fewer but larger withdrawals.

To find the nearest 7-Eleven, Google Maps does the job very well, provided you have mobile data.

Yes, bank cards are accepted in the vast majority of shops in cities. Visa and Mastercard are widely accepted, as is JCB, the Japanese card. Contactless payment is widespread.

A few precautions before you leave:

• Notify your bank of your trip, or check in your app that international payments are activated.
• Check your payment and withdrawal limits: a trip to Japan can quickly exceed them.
• Travel with two cards from different networks if possible, just in case one is refused.
• Check your bank's foreign transaction fees: commission on every payment, withdrawal fees.

Which bank card should I take to Japan?

The right choice is a Visa or Mastercard with low or zero foreign transaction fees. Check three lines in your bank's terms and conditions: the commission on each foreign payment, withdrawal fees, and limits. A credit card often has higher limits than a debit card, which matters for a hotel or a Shinkansen ticket. Many travelers head out with their usual card plus a neobank card as a backup.

One last point: most banks require you to validate online purchases in their app or via a code received by SMS. We will come back to this below, because this is where a mobile connection becomes indispensable.

Paying in Japan without fees, or almost without them, comes down to a few simple habits:

• use a card with no commission on foreign payments;
• always choose to pay and withdraw in yen, never in your own currency;
• make fewer withdrawals, but larger ones, to limit the fixed fees per withdrawal;
• don't exchange large sums of money at an airport or hotel exchange office;
• compare the rate you are offered with the daily exchange rate published by the ECB;
• pay by card whenever possible, and keep cash for places that don't accept it.

Beyond bank cards, Japan has its own cashless payment solutions. Some are easy for a tourist to use, others are not.

IC cards (Suica, PASMO, ICOCA)

IC cards are contactless prepaid cards. They are primarily used for transportation, but also in konbinis, certain restaurants, and beverage vending machines, anywhere their logo is displayed. The balance is capped at ¥20,000, and a plastic card can be recharged with cash. Everything is detailed in our article about the Suica card.

PayPay and QR codes

PayPay is the most widespread QR code payment application in the country: it claims 75 million registered users. A problem for a tourist: PayPay requires a Japanese phone number to create an account; foreign numbers are not accepted.

On the other hand, merchants' PayPay QR codes are increasingly accepting foreign applications. In September 2026, 36 payment services from 17 countries and regions could scan them, with automatic conversion. These services are mostly Asian: check in your app if Japan is among its compatible countries.

Mobile payment

Apple Pay and Google Pay work with your bank card in shops that accept contactless payments. On iPhone, you can also add a Suica to your Wallet and top it up with your card. In any case, adding a card and certain validations require an internet connection: keep this in mind before leaving the airport. We detail all the solutions in our article on internet in Japan.

Paying in Japan follows certain codes of Japanese culture. Nothing complicated, but it is better to know them.

The coin tray

At the checkout, you will often see a small tray. You place your bills or your card on it instead of passing them hand to hand, and the merchant places your change on it.

No tipping

According to the Japan National Tourism Organization, leaving a tip is not customary, whether in a restaurant, a bar, a taxi, or a hotel. The only exception: a private tour escort or interpreter, to whom one can offer a small amount, discreetly, in an envelope.

Prices always include tax

Since April 1, 2021, businesses must display prices including taxes. The consumption tax is 10%, or 8% for takeout food. The price you read on the label is therefore the price you pay.

Tax-free shopping changes on November 1, 2026

Tourists can purchase tax-free for purchases of ¥5,000 or more (excluding tax) in the same store on the same day, upon presentation of a passport. This system changes for purchases made from November 1, 2026:

• Before: the tax is removed directly at the checkout.
• Now: you pay the tax-included price, then you present your passport and your purchases at customs control upon departure, within 90 days after purchase, and the store refunds the tax to you afterwards.

Without this check at the airport, no refund. The check takes place at a kiosk before baggage check-in: keep your tax-free purchases close at hand.

Before heading home, try to spend your cash, especially your coins: currency exchange offices rarely take foreign coins, and they buy back banknotes at an unfavorable rate.

A few ideas to spend your last few yen:

• spend your coins at the airport konbini or in a drink vending machine;
• use your IC card balance, or get a refund for a classic Suica;
• keep a few banknotes for a future trip to Japan, they will remain valid;
• pay part of a final purchase in cash and the rest by card (ask beforehand, not all stores do this).

A damaged banknote? The Bank of Japan exchanges it at its full value if at least two-thirds remains, at half its value if between two-fifths and two-thirds, and provides no refund below that. Exchanges are made at the Bank of Japan headquarters or at its branches.

In Japan, your phone is as essential as your wallet. Without a connection, several everyday tasks become complicated:

• Validate a payment: for an online purchase (train ticket, reservation, museum), your bank asks you for validation in its app or a security code via SMS.
• Track your spending: your bank's app displays every payment in real time and allows you to block your card in case of loss.
• Use a virtual card: adding your card to Apple Pay or Google Pay, or creating a virtual card with a neobank, requires a connection.
• Find a compatible ATM: Google Maps shows you the nearest 7-Eleven or post office.
• Convert a price: a currency converter gives you the equivalent in your currency in a second.
• Create and top up your Suica on your phone, or pay a PayPay QR code with an app from your country.

Regarding security, it's better to check your accounts on your own mobile network than on public Wi-Fi at a station or a café. With a data eSIM, you keep your main line active to receive SMS from your bank, while the eSIM handles internet for your banking app, Google Maps, or translation.

At voilà eSIM, Japan plans start at $1.40 for 1 GB for 7 days, and the recommended 20 GB plan for 30 days costs $16.80, on the NTT docomo 5G network. It offers excellent value for money. The eSIM is simple to install, the app is easy to use, and human customer support responds 24/7. First, check if your phone is compatible: