Ecuador Tightens Control of US$100 Bills

Ecuador’s central bank has ordered banks to hand in every US$50 and US$100 bill at its own sites, not at its public exchange windows. The Banco Central del Ecuador (BCE) signed the rule on Tuesday 27 October 2026 to implement the board’s May 2026 anti-laundering norm.

For US readers the rule matters because Ecuador has used the US dollar as its currency since 2000, and these notes are issued by the US Federal Reserve. The BCE will also send the Federal Reserve (the Fed), the US central bank, lists of serial numbers, never customer names, when it ships such bills back.

What the New Rule Says

The text is Administrative Resolution BCE-GG-021-2026, signed in Quito by Olga Delgado del Hierro, the central bank’s acting general manager. It amends the bank’s 2025 norm on how financial institutions deposit and withdraw physical cash.

Article 25 says banks, co-operatives and credit unions that want to deposit US$50 or US$100 bills must do so only on central bank premises, after due diligence checks on who the customer is. The same article bars the bank from taking such deposits from financial institutions at its public exchange windows.

The resolution defines a high-denomination bill as a US$50 or US$100 note issued by the Federal Reserve. It takes effect on publication in the Official Gazette, Ecuador’s register of legal texts.

New Checks for Individuals

Under Article 27, the central bank’s windows may swap large bills for smaller ones only for individuals, not for companies. Each customer must show identification, declare that the money came from a lawful source, and allow the bank to record the serial numbers of the bills handed in.

The resolution says nothing about individuals who deposit cash at their own bank, so its text leaves that routine as it was. It also does not withdraw any note from circulation.

Why Big Bills Are Under Watch

The bank’s own technical report of 27 October, written by its payments and risk divisions, recommended the change. It builds on a resolution of 27 May 2026 by the Financial and Monetary Policy Board, the body that sets Ecuador’s financial rules, which told the BCE to set up channels for bank deposits and customer exchanges.

Preliminary figures reported in 2025 from data gathered by Ecuador’s Superintendency of Banks, the banking regulator, show US$801.5 million in US$50 and US$100 bills entering the financial system between January 2024 and March 2025, about US$713 million of it in US$100 notes. Those figures covered 21 banks and are now more than a year old.

We covered another laundering case in Ecuador Detains Luisa González on Laundering, and the wider picture in Who Runs Ecuador’s Economy, the Key Players in 2026. Our earlier look at dollarization and the central bank explains why cash controls sit at the heart of the system.

What Banks Must Do Next

The central bank has one month from the rule’s entry into force to update its internal procedures. Banks, co-operatives and credit unions then have two months from the same date to adapt their systems and protocols.

Only after those periods end will the BCE begin sending the Federal Reserve information on its shipments of high-denomination bills, under Article 26. That information is limited to denomination, quantity and serial numbers, with no customer data.

What Is Not Known

The resolution gives no figure for how many bills it expects to pass through the central bank each month. It leaves the conditions, opening hours and requirements for deposits to be set separately by the BCE.

The text also does not say how the bank will treat an institution that fails its due-diligence checks, and the exact date of publication in the Official Gazette, which starts the clocks, is not stated in it. The May 2026 board resolution ties access to the service to each bank’s risk profile and its record on laundering rules.

What It Means for You

If you keep US dollars in Ecuador, nothing in the text changes how you deposit at your bank. Swapping US$100 bills at a central bank window now means bringing ID and being ready to say where the cash came from.

Businesses that collect many US$50 and US$100 bills should note that financial institutions can no longer deposit them at the public exchange windows, and that the big-to-small swap is open only to individuals. For investors, the rule shows a dollarised economy tightening its cash controls, a theme we follow in our Ecuador coverage.

More: Ecuador news in English, every day from The Rio Times.

Frequently Asked Questions

What did Ecuador’s central bank change?

Banks, co-operatives and credit unions must deposit US$50 and US$100 bills only at central bank premises, after due diligence checks, once the rule is in force. The central bank will no longer take such deposits at its public exchange windows.

Can I still deposit US$100 bills at my bank?

The resolution does not change how individuals deposit at their own bank. It governs deposits by financial institutions at the central bank and exchanges at its windows.

What do individuals need to swap big bills?

At the central bank’s windows, an individual must show identification, declare that the money is of lawful origin and allow the serial numbers of the bills to be recorded. The swap is open only to individuals.

Are US$50 and US$100 bills still valid in Ecuador?

Yes. The resolution withdraws no note from circulation; it sets where banks deposit them and how the central bank exchanges them.

When do the new rules apply?

The resolution takes effect on publication in the Official Gazette. Banks then have two months to adapt their systems and procedures.