ECCB 2025-2026 Annual Report

EASTERN CARIBBEAN CENTRAL BANK ANNUAL REPORT 2025 - 2026

Organisational Effectiveness and Development

The demand for coins also increased albeit at a modestly decreased rate relative to last year. These developments emphasise the importance of continued efforts to strengthen currency management practices. Consistent with the Bank’s strategic priority to advance innovation and data-driven operations, the focus will remain on enhancing forecasting accuracy, improving circulation efficiency, and building more agile and responsive currency management systems. Chart 2 shows the currency in circulation.

subsequent engagements led to agreement on replacement images. This progress paves the way for the introduction of a new family of banknotes and coins, with issuance anticipated as early as 2026 with the five cent coin. Efforts also progressed to strengthen coin circulation, with work commencing on a redemption strategy aimed at encouraging the return and recirculation of coins held by the public, in light of persistently low redemption levels. In addition, the Bank continued to explore viable and cost-effective options for the disposal of shredded polymer banknotes. At the same time, the application of scientific forecasting methodologies and data analytics to enhance currency demand projections has begun and will continue as internal capacity and specialised software capabilities are further developed. Portfolio Management Having returned to active portfolio management in the prior financial year, the Bank took steps to restart its external asset management programme. The goals of the programme are the optimisation of return on a risk adjusted basis and the upskilling of staff in all areas of foreign currency reserve management. The Bank initiated the process by canvasing the marketplace for suitable external asset managers via a Request for Proposal (RFP) process. This process is expected to be completed by the beginning of the 2026/27 financial year.

Chart 2 Distribution: Currency In Circulation Notes, Coins and Digital ($ Millions)

1,707.07

1,800.00

1,559.36

1,600.00

1,437.67

1,360.92

1,281.84

1,400.00

1,200.00

1,000.00

800.00

$'000

600.00

400.00

200.00

0.77

2.45

2.27

-

2022

2023

2024

2025

2026

Years Ended 31 March Notes Coins Digital

Maintaining the smooth functioning of currency operations across the ECCU remained a central focus of the Bank during the financial year. The Bank continued to provide a timely and adequate supply of banknotes and coins in denominations aligned with the public’s needs, supporting transactional efficiency and sustaining confidence in the Eastern Caribbean (EC) dollar. A significant milestone was advanced with the approval for the removal of the image of the British monarch from the EC banknotes and coins, and

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