Figures from the European Central Bank show that 300,000 fake euro bills have been withdrawn from circulation in mainly European Union member states in the first six months of 2006.
Until the end of last year, the €50 was always the most counterfeited banknote but the €20 note has now taken the top spot.
Between January and June the €20 note made up 44% of counterfeits and the €50 note made up 36% of fake euro bills.
The ECB said that compared with the second half of 2005 there was a slight rise in the proportion of €100 counterfeits to 12% of the total.
The ECB said that the level of counterfeiting has remained stable for over two years and that the figures should be seen in the context of a gradual increase in the number of genuine banknotes in circulation (on average 10.1 billion during the first half of 2006).
The bank said that the majority (98%) of counterfeits recovered are found in euro area countries and just over 1% came from EU Member States outside the euro area; and just under 1% from other parts of the world.
