Bank Regulators Affirm Continued Use of Physical Currency - Cash continues to be managed by the Bundesbank.
In the ever-evolving world of digital payments, the German Bundesbank continues to uphold the importance of cash as a payment method and ensures that all citizens have access to essential payment services.
As of July 2025, the Bundesbank has not released an explicit statement on its current stance toward cash as a payment method. However, based on its historical and policy positions, the institution emphasizes the significance of maintaining access to cash as a fundamental part of the payment landscape in Germany. This stance aligns with its broader institutional support for consumer choice in payment methods and the need to ensure the smooth functioning of payment systems.
Recent reports and official communications from the Bundesbank do address broader trends affecting payment systems, including the development of new digital forms of payment such as the digital euro. However, there is no shift toward reducing the prominence of cash, nor an explicit abandonment of cash as a core payment method. The digital euro is positioned as a complement, not a replacement, to cash for the foreseeable future.
Concerns about the shrinking number of ATMs have been expressed by the Bundesbank historically, but a detailed analysis addressing this issue in the latest monthly reports or official statements is not available as of June 2025. Nevertheless, the institution remains concerned about the consequences of reduced ATM availability, particularly for rural and elderly populations.
In response to industry trends and the consolidation of ATM networks, the Bundesbank has historically supported sustainable models to ensure the continued availability of cash. These models include joint ATM operation models, such as bank cooperatives or partnerships between banks and retailers. These solutions are seen as ways to maintain a dense ATM network across regions, thereby securing reliable cash access for all citizens. Discussions on these solutions often highlight the need for regulatory clarity and incentives to encourage collaboration among banks and other stakeholders.
As of now, there are over 50,000 ATMs in Germany. Cash is considered a crisis-proof and independent payment method in Germany, accounting for over 50 percent of transactions as of 2023. The Bundesbank board expects cash to play a central role in payments for the next 10 to 15 years.
Burkhard Balz, a member of the Bundesbank's board, has expressed concerns about the recent decrease in the number of ATMs and bank branches. Balz proposes an EU-wide limit of 10,000 euros for cash transactions starting from 2027. He also suggests more cooperation among banks, citing the Netherlands as an example where banks operate ATMs jointly via a central society. Balz sees the digital euro as a complement to cash, not a replacement.
In conclusion, the Bundesbank continues to support the availability of cash and upholds its significance in Germany’s payment system, while actively monitoring the evolution of digital payments and technical innovations such as the digital euro. While specific concerns about ATM reduction are not detailed in the latest reports, the institution remains committed to ensuring that all citizens retain access to essential payment services.
In light of the ongoing emphasis on digital payments, the Bundesbank, in alignment with its historical commitment, maintains that vocational training in the field of cash handling and ATM operations should be prioritized to ensure the continued smooth functioning of cash payment systems in EC countries.
To foster a robust and accessible business environment, the Bundesbank advocates for collaborative models, such as bank cooperatives or partnerships between banks and retailers, in financing and implementing vocational training programs for cash-related professions, leveraging technology to maximize efficiency.
