Malta, Spain and Cyprus have emerged as Europe’s most cash-reliant countries in a new study conducted by the European Central Bank (ECB). In Malta, 88 percent of transactions are cash-based, with Spain and Cyprus tied at 83 percent, and Portugal in a close third on 81 percent.
The ECB report—Study on the Payment Attitudes of Consumers in the Euro area (SPACE)—explores the latest trends in consumer payment preferences, aiming to keep the ECB current and providing ‘reliable, efficient and inclusive retail payments’ for everyone. On all these measures, cash is unrivalled, a fact reflected in the continued strength of cash payments despite the rise of cashless options.
73 percent of transactions across Europe are conducted in cash, with cards the most popular cashless payment option, accounting for 24 percent. In terms of transaction value, cash leads with 48 percent, followed by cards at 41 percent. The study noted a decline in ease of access to cash, with 89 percent of respondents saying they found it satisfactory compared to 94 percent in 2016. Fortunately, this is being addressed by a new ECB strategy to safeguard the future of cash and ensure it is accessible to all.
As well as withdrawing cash to use in the short term, the study reveals people are storing cash at home or in safety deposit boxes.
