
Despite the growing popularity of digital payment methods, cash remains the preferred choice for consumers in the Eurozone, especially for smaller transactions. A recent analysis by the European Central Bank (ECB) revealed that while cash use is still prevalent, digital alternatives are increasingly becoming the norm, even in cash-friendly Austria. For transactions over 50 euros, the majority of consumers are opting for card payments.
The share of cash payments has been steadily declining: 52% of transactions in 2023 were made in cash, down from 59% in 2022 and 72% in 2019. Meanwhile, the share of card payments has grown from 25% in 2019 to 39% in 2023, indicating a shift toward digital payments.
The ECB’s study found that cash payments decreased across most of the Eurozone between 2022 and 2024, with notable drops in countries like Cyprus, Germany, Malta, and Portugal. However, some countries like Finland and the Netherlands bucked the trend, showing little change in cash usage.
In Austria, 28% of all daily payments were made online in 2023, marking a significant increase since 2019. Austria remains a “cash-strong” country, with 62% of transactions made in cash, 10 percentage points higher than the Eurozone average. However, the study also showed that card payments are becoming more popular, with 39% of Austrian consumers preferring cards over cash in 2024, surpassing the previous year when nearly half still favored cash.
For transactions above 50 euros, cards are increasingly the preferred payment method, with cards being the dominant payment form across the Eurozone in terms of transaction value, accounting for 45% of payments compared to 39% for cash. Mobile payments, such as those made via smartphones or smartwatches, are also on the rise, now making up 7% of payments.
The rise of online shopping is another key driver for the increased use of digital payments, with card payments accounting for 21% of all transactions and 36% of the total value of payments made online. Despite this growth, a majority of consumers (62%) across the Eurozone still believe cash should remain available as a payment option. ECB Board Member Piero Cipollone reaffirmed that the central bank is committed to ensuring secure, efficient, and inclusive payment options, supporting both cash and the development of a digital euro.