Despite the rapid rise of electronic payment methods, one in two Greek consumers (50%) continues to prefer cash for daily transactions, marking the highest preference rate in the Eurozone.
This steadfast preference for physical money is highlighted in a recent European Central Bank (ECB) survey, which reveals the main reasons behind cash’s “dominance”:
Anonymity and privacy protection (41%): Cash offers complete anonymity, ensuring that transactions leave no digital footprint. This makes it attractive if you value your privacy.
Expense control (35%): Using physical money helps consumers better monitor their spending, as the tangible loss of money discourages unnecessary expenditures.
Immediate transaction completion (30%): Cash transactions are completed instantly, without requiring technological infrastructure or internet connectivity.
Despite the continued preference for cash, electronic payments in Greece are on the rise. Card payments account for 47% of the total transaction value at POS terminals, placing Greece among the leading Eurozone countries in electronic payment usage.
The government supports this transition through measures that reduce bank fees and encourage digital transactions.
Notably:
– Zero charges for bill payments via e-banking.
– Reductions of up to 80% in fees for money transfers.
– Elimination of charges for withdrawals from remote ATMs.
The persistence of cash usage, while serving many consumers, raises concerns about tax evasion and the circulation of “black” money. At the same time, cash remains a vital tool for vulnerable social groups, the elderly, and those without access to banking services.
In the Eurozone, cash remains the most frequently used payment method in 14 out of 20 countries. Cash transactions range from 22% in the Netherlands to 67% in Malta, while electronic payments are gaining ground in countries like Finland (57%) and the Netherlands (56%).
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