Consumer demand for banknotes has increased in Europe during each of the series of crises – according to research published by the European Central Bank, which cites CNN. The analysis indicated that the physical currency offers “clear psychological and practical usefulness”. It is not without reason that the EBC test is entitled: “Keep calm and carry cash”
See also: When will the cash disappear? We asked this question to a man who knows non -cash transactions from the inside out
The ECB, whose conclusions are cited by CNN, indicates that in the moments of the crisis cash is seen as a reliable value warehouse and a resistant means of payment. “Cash provides a” spare pillow ” – for the payment system” – emphasize the authors of the report. An example is the power outage in Spain and Portugal, which forced stores to accept only cash payments.
Pandemia Covid-19 caused permanent accumulation of cash by Europeans because of uncertainty about the future. In turn, Russia's invasion of Ukraine caused a rapid increase in the demand for banknotes in countries neighboring Ukraine and Russia. “People reacted to the proximity of potential disturbances, accumulating portable liquidity,” notes scientists by the authors of the ECB analysis.
The European Central Bank advises: keep calm and keep cash
The analysis noted the growing recognition among the authorities that cash is “a key element of domestic crisis readiness.” Several of the recommendations of individual European countries were cited.
The authorities in the Netherlands, Austria and Finland recommend that households store at home from around 70 euros (350 PLN) to 100 euros (420 PLN) per person, which is enough to meet basic needs for about 72 hours.
Continuing text under video material
In Sweden, it is recommended to have enough cash to pay for things such as food, medicines and fuel for at least a week. “Store cash in small denominations to be able to make transactions if the digital payments are interrupted,” it was written in Swedish guidelines, which cites CNN
See also: A retirement trap of 20-year-olds. “The problem is that young people don't know about it” [WYLICZENIA]
Crises, such as Pandemic or Electricity, show that digital payment methods can fail. Cash then becomes a reliable means of payment, allowing the purchase of basic products. EBC experts emphasize that having banknotes at home is not only a practical but also psychological matter – it gives a sense of security in difficult times.
