Head of ECB’s currency management division, Doris Schneeberger, made her stance clear during the Future of Cash Conference, held 11-12 April 2016, in Paris. She stated there is “no statistically demonstrable link between crime and the use of cash” – a comment that comes at the height of the EU’s discussions on whether to abolish Europe’s highest denomination banknote, the 500-euro note.
Schneeberger’s arguments are supported by facts. For example, the shadow economy in Sweden is greater than in Germany – and this despite it often being praised as a country on the brink of going cashless. Furthermore, following the financial crisis, there was a net increase in 500-euro note usage in Greece, pointing to another issue: cash being a secure store of value in times of uncertainty.
Alain Gerbier of the Banque de France presented statistics proving an overall growth in cash usage – 6.1% in France and 5.1% in the Eurozone – suggesting that cash is here to stay.
To read the full article, please click here (original in German).