We are all familiar with the earnest reasons for using cash. But what other benefits are there?

As digital payments grow and cash usage at the point of sale declines, the individual cash cycle stakeholders are all facing certain challenges brought about by these changes that could risk their ability to continue to function – UNLESS we can understand their challenges, identify the risks, mitigate the risks and make changes not only to adapt to this new environment – but make changes to avoid future events and failures.

In the session at G+D’s July Currency Technology Symposium on cash initiatives around the world, a number of speakers described their cash cycles and access to cash. While the Dutch National Bank (DNB) is insourcing cash processing as cash volumes fall, cash volumes in Canada are now stable and the private sector is investing and innovating. In contrast South Africa is focused on working with stakeholders to manage note quality in circulation. It too, is looking at how to protect cash.

Tuvalu is home to 11,000 people and now, for the first time, five ATMs as well, thereby opening up electronic banking for the tiny Pacific island’s inhabitants.

Another conference taking place in Warsaw later this year is The Future of Cash conference, from 3-5 November, which will bring together key stakeholders from across the cash community to explore innovative strategies for shaping the future of the cash cycle.

Even though innovations in digital payments have accelerated in recent decades, cash is the only payment option for a number of citizens in every country. Moreover, the great majority of people would like to keep cash as one of their payment options – even in those countries where its share in transactions is already small. Cash is also used for precautionary reasons as well as a store of value and has a significant role in various crises and uncertainties.

President João Lourenço of Angola has officially opened the National Bank of Angola’s new high-tech cash centre – Casa do Kwanza – in the capital, Luanda for the storage, processing and distribution of the country’s currency, the kwanza. The cash centre has been four years in the making, at a budgeted cost of c. Kz 33 billion, and will be able to process up to 4 million banknotes daily.

A functioning cash supply is a stabilising factor in our society, both in normal times and especially in times of crisis. At the same time, the demands for a robust and efficient cash circulation system are increasing.

Sweden’s Riksbank is threatening banks with the prospect of regulation to ensure business access to cash services.

Last month, we celebrated the 25th anniversary of the introduction of polymer banknotes in New Zealand. But all is not well with cash ‘down under’, with usage in rapid decline and the cash infrastructure in decline as well – both in response to falling demand and also a driver for it.