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Cash and Crisis

A perspective on cash during crises: the short- and long- term future of cash and its infrastructure.

This paper aims to give the reader a perspective about the role of cash and its evolution during and after a crisis. The methodology used encompasses an analysis drawing data from the latest crises, following the Lehman Brothers’ bankruptcy (2008) and the European sovereign debt crisis (2010-2014) to better understand the potential impact of the current COVID-19 crisis on cash. Root causes for consumers´ preference towards cash, its safety as a payment method and how COVID-19 can affect the cash infrastructure are also in scope of this paper.

KEY TOPICS:

  • Root causes for cash preference and consumer behaviour

  • Evolution of cash demand and payment behaviour during and after a crisis

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