Cash shortage in Germany: This is what the Bundesbank says - analysis and forecast until 2037

Cash shortage in Germany: This is what the Bundesbank says - analysis and forecast until 2037

According to a report by www.futurezone.de, the Bundesbank found in an analysis that cash could become a scarce commodity in just a few years. The research shows that the declining number of bank branches and ATMs could make the supply of cash more difficult. Two out of three scenarios outlined for paying with notes and coins in 2037 indicated negative developments. Despite the increasing popularity of alternative payment instruments, cash is still the most commonly used payment method in Germany.

The scenarios mentioned - hyperdigital payment world, payment world in the cash renaissance and disappearing hybrid payment world - show that acceptance and access to cash could be at risk in the future. In two of the three scenarios, freedom of choice in payment transactions is practically non-existent and the stabilizing function of cash in times of crisis is at risk.

This analysis by the Bundesbank has far-reaching effects on the financial market. A possible shortage of cash could lead to changes in payment transactions and the way money is handled. Businesses and financial institutions must prepare for greater digitalization and a potential cash shortage. This could encourage the development of new payment methods and financial products and impact overall financial stability.

In order to counteract this possible scenario, all actors in the cash cycle as well as politicians must act to ensure freedom of choice in payment transactions in the future. It remains to be seen how the financial industry will prepare for this potential challenge and what changes in payments can be expected in the coming years.