Cash, which once took centre stage in financial transactions, is gradually receding into the background, giving way to electronic transactions and digital payments. This trend can be observed in all countries around the world and is the result of the widespread adoption of new technologies. Between 2018 and 2024, the share of cash transactions at the point of sale has significantly decreased from 68% to 50%, as a result of the growing popularity of bank cards with contactless payment, instant transfers via banking apps and the active development of e-commerce. At the same time, despite the decline in the use of cash in everyday transactions, banknote issuance in the Eurozone continues to grow.
Banking infrastructure is adapting to changing consumer habits, which is reflected in the decline in the number of ATMs. Access to ATMs remains an important issue, especially in remote and rural areas. Despite the reduction in the number of ATMs, access to cash remains stable with ATMs and cash dispensers continuing to operate in key locations. In addition, banks are offering alternative ways to obtain cash through shop partnerships and other innovative solutions to ensure that money is accessible to all segments of the population.
Downward trend in the number of ATMs
ATM accessibility remains an important issue for the public, especially as the number of ATMs declines across Europe. By the end of 2024, 79.2 per cent of the population will be less than five minutes away from the nearest ATM, but the total number of ATMs in Europe has decreased significantly over the past few years. Between 2018 and 2024, the number of ATMs has declined, reflecting the gradual shift towards digital payments and changing consumer habits. This trend is not only observed at country level, but also regionally, where ATMs continue to disappear in cities and rural areas.
One factor affecting ATM availability is the difference in distribution between urban and rural areas. In some densely populated regions, the number of ATMs has declined less than in rural areas, where people often have to travel a greater distance to access cash. However, despite the decline in the number of ATMs, many rural areas continue to maintain a stable number of cash outlets. Such changes show that ATM distribution and availability is influenced by demographic density and demand levels.
Despite these changes, banks strive to maintain cash availability for customers by adapting to changing needs. A stable number of ATMs are maintained in both urban and rural areas to meet the financial needs of the population. Some banks also offer alternative solutions for cash access, such as partnerships with local shops or other services to ensure that withdrawals are available even where ATMs are becoming fewer. Such measures are helping to maintain a balance between traditional banking services and the growing demand for digital payment facilities.
The future of cash and access points
Maintaining cash as a safe means of payment remains an important issue for many participants in the economy. Despite the rise of digital payments, most businesses in Europe continue to accept cash, and many plan to retain the practice in the future. Cash remains particularly popular among small businesses, where it is in demand due to its simplicity and lack of additional fees. This emphasises the enduring role of cash even as cashless transactions become widespread.
By the end of 2024, almost everyone in Europe will have access to cash in their communes or within a short journey to the nearest cash point. Importantly, the number of such outlets, including ATMs and private dispensing points, continues to grow despite a reduction in the number of ATMs themselves. These new access points, installed in retail outlets or other public places, are designed to ensure that cash is widely available to all segments of the population. As a result, the number of such outlets is expected to exceed 70,000 by the end of 2024.
Private cash points, such as in-store terminals, are becoming an important complement to ATMs, especially in rural areas. These outlets allow for small withdrawals, which significantly improves cash accessibility for residents in regions where ATMs are becoming scarce. This decision shows the importance of a combined approach in providing cash in the face of the ongoing digitalisation of financial services and changing consumer preferences.
Conclusions: The place of traditional currencies in a digitalised world
Banking services across Europe continue to adapt to changing consumer habits and the growing demand for digital solutions. Many financial institutions are introducing innovative features such as contactless payments and instant transfers, allowing customers to manage their funds more conveniently and quickly. The introduction of new technologies on ATMs, including the ability to quickly deposit coins and notes, also emphasises banks' commitment to keeping pace with the development of digital services. These measures are aimed at meeting the needs of today's customers, who are increasingly focused on flexibility and convenience in financial transactions.
In addition, banks are endeavouring to pool their resources by creating service networks to improve the availability of financial products. These measures have already made it possible to significantly expand the number of service outlets and provide access to financial services even in remote regions. It is expected that by 2026 there will be more than 7,000 locations in Europe offering universal ATM services. As a result, the combination of technological innovation and strategic partnerships is further improving the banking system, offering customers more convenient and affordable access to their financial resources.
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