Cash Usage in Europe: Southern Nations Lead While Digital Payments Grow
According to the Economic Desk of Webangah News Agency, cash usage across Europe continues to decline steadily, though it remains widespread in certain regions. In many Eurozone countries, cash is still the most common payment method by both transaction volume and value.
The European Central Bank’s 2024 survey found Eurozone residents carried an average of €59 in cash, with figures ranging significantly from €35 in the Netherlands to €82 in Luxembourg and Cyprus. Among the EU’s four largest economies, Germany recorded the highest daily cash payment average at €69, while France had the lowest at €50. Italy approached the lower range, with Spain slightly above the Eurozone average.
Cultural factors significantly influence cash usage patterns, according to Jakub Gorka of Warsaw University. “Southern European nations with warmer climates and stronger face-to-face trading traditions show greater cash preference,” he noted, “while Nordic countries historically transition faster to digital banking.”
Cash transactions at point-of-sale terminals have gradually decreased across the Eurozone, dropping from 79% of transactions in 2016 to 52% in 2024. Cash’s value share fell 15 percentage points to 39% during this period. Despite this, cash still accounted for 52% of all Eurozone transactions in 2024, remaining the dominant payment method in 14 of 20 countries.
Guillaume Lepec of CashEssentials explained: “Nations like Germany, Austria and Italy maintain strong cash dependence due to historical trust in physical currency, banking crisis experiences, privacy concerns, and resistance to digital tracking.” While cash represents 39% of payment value across the Eurozone, card payments account for 39% of transactions and 45% of total value, with growing smartphone and smartwatch payment adoption.
The Netherlands and Finland show the lowest cash usage, with Dutch businesses accepting cash at just 79% – down from 98% in restaurants and cafes since 2021. Finland has only 8% of SMEs preferring cash payments, reflecting both nations’ global leadership in digital payment adoption.
