Cash remains the most widely used form of payment in all regions of the world, while the amount of cash in circulation is growing, according to a report from G4S.
The ‘World Cash Report’ surveyed 47 countries covering 75% of the global population and over 90% of the world’s GDP. The findings show that demand for cash continues to rise globally, despite the increase in electronic payment options, including mobile in recent years. Cash in circulation relative to GDP has increased to 9.6% across all continents, up from 8.1% in 2011.
The report highlights that in Europe, 80% of point-of-sale transactions are conducted in cash, while in North America, where card payments are most regularly used, cash use still accounts for 31%. In Asia the rise of online purchases does not mean that cash is taken out of the equation, with more than 3 out of every 4 online purchases are paid for by cash on delivery.
“Cash remains fundamental in our day-to-day global economy,” said Jesus Rosano, chief executive of G4S’ global cash division. “The evidence shows that contrary to popular opinion, demand for cash is growing in absolute terms and relative to GDP.
“People trust cash; it’s free to use and readily available for consumers, it’s confidential, it can’t be hacked and it doesn’t run out of battery power – these unique qualities continue to hold significant value to people living on all continents,” he added.