Filenews 22 December 2022
The use of plastic money in Cypriot payments may increase significantly, but thousands of our compatriots do not part with the cash, which they want to have in their wallets, as a small reserve.
The results of an ECB survey entitled "Payment attitudes of euro area consumers" show how Cypriots think and behave in relation to money. The survey indicates what is the average amount that the citizen of each country has when his day starts, on average.
According to the study, people in the euro area have an average of €83 in their wallets. In Cyprus, the average amount in the wallet was €113, the third highest among Eurozone citizens.
In Austria, the average amount of cash in the citizens' wallet at the beginning of the day was €121, in Luxembourg €120, followed by Cyprus with €113, Lithuania €110, Ireland €107, Estonia €102, Germany €100, Malta €98, Belgium €97, Latvia €92, Slovenia €89, Spain €84, Italy €82, Finland €80, Greece €78, Slovakia €77, France €61, Poland €53, Netherlands €46.
The ECB's report, published the day before yesterday, states that Cyprus has the highest percentage of the population that refuses to answer if it holds extra cash – almost 10%. This shows, based on research, that cash management can be a deeply personal issue for many people and is in line with 40% of people who like the anonymity that cash provides them.
According to the ECB report, most euro area citizens (85%) did not receive regular cash income. This percentage was marginally higher in 2019, at 87%. Greece was an extreme case, with 11% of Greeks receiving up to a quarter of their cash income (about double the euro area average of 5%). This suggests a stronger reliance on cash in Greece, at least in terms of willingness to accept cash, unlike other options such as direct deposit.
In Cyprus, 83% of citizens do not receive regular cash income. In Greece, cash remains "king", accounting for 62% of transactions. The use of cards covers a percentage of 33%. Cyprus is the country that has by far the largest drop in the use of cash in 2022, compared to 2019 levels, having experienced the most drastic change in consumer habits during the pandemic.
