Poles began to pay cash in bulk. Over 110 billion zlotys were taken out

In the second 4th of 2024 Poland saw a crucial increase in cash withdrawals from ATMs. According to the National Bank of Poland (NBP), the number of withdrawal transactions reached 123.6 million, which represents an increase by 8.9% compared to the erstwhile quarter. The full value of these payments was PLN 110.6 billion, i.e. PLN 10.6 billion more than in the first 4th of 2024

Average payout value increases

Analysis of NBP data indicates that the average value of a single withdrawal from an ATM increased to PLN 863, whereas in the erstwhile 4th was PLN 846. This trend suggests that Poles not only usage ATMs more often, but besides pay larger amounts once.

Impact on non-cash turnover

Despite the increase in cash withdrawals, non-cash transactions proceed to dominate the Polish payment system. In the 3rd 4th of 2024 they constituted 95.5% all card transactions, while cash transactions specified as withdrawals from ATMs, were 4.5%. The value of non-cash transactions increased by 3.6% au PLN 198,2 billionand the average value of a single non-cash payment was 74,1 gold.

Despite the increasing popularity of electronic payments, cash remains an crucial means of payment in Poland. Studies indicate that about 40% of the elderly in the country prefers to usage cash, which poses challenges for the digitalisation of financial services. In addition, 66.5% of Poles powerfully opposes the complete withdrawal of cash from circulation

In consequence to the changing needs of consumers, banks in Poland adapt their infrastructure. At the end of June 2022, the country functioned 21 501 ATMs, which means an increase by 1.4% compared to the erstwhile quarter. However, the improvement of online banking and mobile payments affects the gradual simplification of the number of banking facilities and ATMs, which may impede access to cash for part of the public

Polish law introduces restrictions on cash payments. In 2024, the limit for cash transactions between traders is PLN 15,000. Although these rules do not apply to individual consumers, the expanding number of regulations and pressures on controlling large cash flows can affect the future of cash trading in Poland.

The debate on the future of cash in Poland is getting stronger. On the 1 hand, the improvement of payment technologies and the pursuit of full digitalisation of financial services lead to a simplification in cash circulation. On the another hand, a crucial part of society, especially the elderly, inactive relies on conventional forms of payment. It will be crucial to strike a balance between modernity and financial Inclusion to guarantee that services are available to all citizens.

The increase in cash withdrawals in the second 4th of 2024 shows the continued importance of cash in Poland, despite the dynamic improvement of non-cash payments. Banks and financial institutions face the challenge of adapting their offer to diverse client needs, taking into account both supporters of modern technologies and those who like conventional payment methods.