Demand

Banknotes contain a great number of security features that are increasingly sophisticated. Some countries have already replaced the traditional cotton paper with polymer.

In spite of international pressure, the Swiss National Bank will retain its current denomination mix which includes the CHF 1,000 note, which is one of the highest value notes in the world and the CHF 5 coin, also one of the highest value coins in circulation.

International travel is a large and growing market. It is cash intensive.

‘Do you trust cash as a mean of payment?’ Most of us have never asked ourselves this question as cash is deeply rooted in our daily lives; sometimes we use it without even noticing. Yet, behind all of our coins and banknotes there is a world of professionals who work to keep cash secure and accessible to all of us.

Cash is facing increasing competition as a payment instrument from the likes of PayPal, Venmo, Square or Stripe. The paradox is that cash demand is increasing. But not for payments. Demand is driven essentially by its use as a store of value.

Canadians are holding more cash than before. Cash represents 3.8% of GDP up from 3.3% in 2008.

Should Japan adopt another strategy to fight deflation?