Paying Across Europe: Cashless vs Cash-Heavy Countries Explained 

What Does “Cashless” vs “Cash-Intensive” Mean?

• Cashless Countries: These countries rely mostly on cards, mobile apps, or digital banking. Cash is rarely used, and sometimes not even accepted.
• Cash-Intensive Countries: These countries still prefer cash for everyday transactions especially in small shops, restaurants, or rural areas.

A Quick Comparison: Payment Habits Across Europe

Here’s a snapshot of how payment behaviour differs by country:

Why the Big Difference?

Several factors explain why some countries embrace digital payments while others stick with cash:

• Cultural Preferences: In Germany, Austria, and Italy, many people value privacy and trust physical money.
• Technology Adoption: Nordic countries have advanced digital infrastructure and high smartphone use.
• Government Initiatives: Some governments (like Sweden and the United Kingdom) actively promote cashless transactions.
• Business Habits: In cash-intensive countries, small businesses may avoid card fees or lack terminals. 

How to Prepare When Travelling or Moving Across Europe

 Whether you’re hopping between cities or settling in a new country, it’s best to be flexible. Here are a few tips:

• Always carry a small amount of local cash, especially in cash-heavy destinations.
• Use a digital IBAN account or virtual card to make easy payments across Europe.
• Check if your hotel, taxi or restaurant accepts cards in advance—especially outside major cities.
• Change your money at trusted local money exchange offices such as Globex branches if you’re travelling to the South of France.

Choose eGlobex for Cross-Border SEPA Payments

With eGlobex, you can open an IBAN account online and manage your money across Europe without needing a local bank in every country. 

• Virtual and physical cards for online and in-store use
• Easy transfers across SEPA countries
• Withdraw money at ATMs with physical cards
• No hidden fees
• Pay contactless with Globex cards

Whether you’re navigating cash-only cafés in Rome or tapping your phone in Amsterdam, eGlobex makes it simple to stay in control of your money.
Want to learn more about SEPA payments? Explore our related articles:

• The Ultimate Guide to Digital IBAN Accounts: What You Need to Know
• How eGlobex Makes SEPA Transfers Easier and Faster
• What Is SEPA and Why It Matters for IBAN Account Holders?

Is Europe returning to Cash?

In recent years, rising concerns about accessibility, privacy, and system resilience have prompted several governments and institutions to re-evaluate the role of cash. Not everyone can pay with cards or apps, especially older adults or people in rural areas without internet or smartphones. There’s also the risk of digital systems failing, like during power outages or cyberattacks. Some people also worry that digital payments can be tracked.

A clear example is Sweden, once seen as a global pioneer in going cashless. By 2020, cash usage had declined so dramatically that many retailers, restaurants, and even bank branches no longer accepted cash. However, the rapid shift sparked growing unease especially regarding the exclusion of older citizens and those without access to digital tools. In response, the Swedish central bank, Riksbank, began encouraging merchants to accept cash again. By 2023, new legislation required major banks to offer cash services and ensure public access to physical money.

Final Thoughts

The future of payments in Europe is increasingly digital but cash still has a strong place, depending on where you go. Understanding the local habits and being equipped with the right tools, like an eGlobex IBAN account, can make all the difference in your journey.

Resources:

• Finland – In Finland, most retail payments are made using cards or digital methods. Even public services like healthcare billing and public transport tickets are almost entirely cashless.
• France – In the first half of 2024, 56% of all transactions in France were made using payment cards, according to Banque de France data.
• Germany – In 2023, 51% of transactions at German point-of-sale locations were still paid in cash; debit cards (mostly Girocard) accounted for 27 %, with mobile payments rising to 6%
• Greece – Despite the growth of cards, cash remains preferred by many. About 50% of Greeks still say they prefer using cash for everyday purchases, the highest preference rate in the eurozone.
• Italy and Austria – According to a 2024 ECB study, cash payments still account for over 60% of in-store transactions in Slovenia, Malta, Austria, and Italy.
• Netherlands – In 2024, 94% of in-store payments in the Netherlands were contactless via debit/credit cards—up 3 points from the previous year.
• Spain – Instant payments via Bizum (Spain’s popular mobile finance app) now handle around 95% of peer-to-peer digital transfers, making it a popular tool for splitting bills and daily payments. However, according to a 2024 Bank of Spain survey, 57% of in-store transactions were still cash-based.
• Sweden – According to Sweden’s central bank (the Riksbank), cash now accounts for only about 10 % of purchases.
• United Kingdom – Cash usage dropped to a record low of 12 % of all transactions in 2023.

other blogs