The euro in Italy
Italy was one of the eleven countries that adopted the euro in 1999 and switched to euro cash on 1 January 2002, when the lira was retired at 1,936.27 lire per euro. Prices are written with the symbol after the number and a comma for decimals, so “3,50 €” or “€ 3,50” both mean three euros fifty.
Banknotes and coins
Six euro banknotes are in everyday use: €5, €10, €20, €50, €100 and €200. They are identical in every euro country. The €500 note is no longer printed and many shops refuse it, so avoid it. Large notes are a nuisance in small shops and bars: ask the ATM for €20s where you can, or break a €50 at a supermarket.
Coins have a common side and a national side. Italy’s national designs include Leonardo da Vinci’s Vitruvian Man on the €1 coin and Raphael’s portrait of Dante on the €2 coin. Coins from any euro country are accepted.
Cash or card?
Italy has moved quickly towards cards. Since 2022, businesses that sell to the public, including taxis, must accept card payments, and contactless and mobile payments (Apple Pay, Google Pay) work almost everywhere in cities. Cash still matters for:
- coffee and pastries at the bar, where a card for €1.30 is accepted but frowned upon by some owners;
- markets, small family trattorias and rural areas, especially in the South;
- tips, church candles and donations, and public toilets.
Our cash estimator suggests how much to carry for your trip.
The cash limit
Payments in cash between different people or businesses must stay below €5,000. The limit has applied since 2023 and was confirmed for 2026. It covers paying a hotel, a car rental or a private seller; above it, pay by card or bank transfer. Travellers entering or leaving the EU with €10,000 or more in cash must declare it to customs.
Getting euros at the best rate
- Withdraw at a bank ATM in Italy. This usually gives the best rate. Read our ATM guide to avoid fees.
- Pay by card in euros. Use a card without foreign transaction fees and always choose to pay in euros, not your home currency.
- Bring a little cash from home if it makes you comfortable, around €50 to €100. See should I get euros before going to Italy?
- Avoid airport exchange desks and tourist bureaux de change, which have the worst rates. See where to exchange money in Italy.
Frequently asked questions
What currency is used in Italy?
Italy uses the euro (EUR, €). The euro replaced the Italian lira on 1 January 2002, and lira notes and coins can no longer be exchanged.
Can I use US dollars or British pounds in Italy?
No. Shops, restaurants and taxis in Italy accept euros only. A few tourist businesses may take dollars at a poor rate, but it is much cheaper to pay by card or in euros.
Does Italy still use 1 and 2 cent coins?
Italy stopped minting 1 and 2 cent coins in 2018, but they are still legal tender. Cash totals are rounded to the nearest 5 cents; card payments are charged to the exact cent.
Is there a limit on paying cash in Italy?
Yes. Cash payments between different people or businesses must be below €5,000. The limit is unchanged in 2026; anything larger must be paid by card or transfer.
Do San Marino and the Vatican use the euro?
Yes. San Marino and Vatican City both use the euro and issue their own euro coins, which are valid in Italy.
Sources and fact-checking
Checked on 2 November 2026 by Ionut Popea following our editorial policy. Fees, codes and rules change; confirm anything important with the bank or authority before acting.