The European Commission (EC) has published proposals on the legal tender status of cash and a possible future European Central Bank Digital Currency.

The Dutch National Bank recognises that while digital payments are a preferred payment solution for some, they are a challenge for others. A missing element in understanding this is the extent to which cash is important and which groups cannot do without cash.

The Currency Conference took part in Mexico City in May 2023. Two sessions were particularly relevant, an overview of cash today and work to ensure cash is resilient.

China’s digital currency, the e-CNY, is the world’s largest, longest running and most ambitious Central Bank Digital Currency pilot. Its scale and ambition are huge, as shown by the Governor of the People’s Bank of China (PBOC) who, speaking at a Monetary Authority of Singapore conference, revealed that the e-CNY has had over $250 billion in transactions in its first 18 months since launch.

Let’s talk about Canada’s Prime Minister Justin Trudeau, the Chinese Communist Party (CCP), the UK’s Brexit campaign leader Nigel Farage and cash. Cash, of course, being a key part of the payment system driving economic activity around the world.

The Bank for International Settlements (BIS) has surveyed 86 central banks and found over half are conducting concrete experiments or piloting CBDCs.

Planning for the third euro series is underway. The Theme Advisory Group has issued a shortlist of six themes following an internal voting procedure.

The Bank for International Settlements (BIS) has published its second guide to creating a Central Bank Digital Currency (CBDC). This edition focuses on a security and resilience framework to guide central banks through the critical task of creating a safe CBDC.

Artificial Intelligence (AI), Machine Learning, ‘big data’ and ChatGPT have now reached the public consciousness in a big way, hence headlines such as ‘Central Bank of Ireland blocks ChatGPT for staff as financial services firms grapple with AI’ and ‘China’s Central Bank Warns Against ChatGPT ‘Data Leaks’.

The European Money and Finance Forum has recently published a useful paper on big data and machine learning in central banks.

Australia’s Commonwealth Bank is to scrap over-the-counter cash withdrawals at new cashless bank branches. Cash will still be available at ATMs.

At the Currency Conference in May 54 members of the International Association of Currency Affairs (IACA) met to discuss how to build a resilient cash infrastructure, a highly topical subject.

The media rejoices in either claiming the metaverse is dead in the water or that it is booming. Wherever it falls, payments are made in the metaverse, it is a global marketplace and there is the opportunity to do things differently.

In 2019 the Central Bank of Kenya demonetised the KES 1,000 banknote. It has issued a comprehensive report on its experience that offers interesting lessons for any central bank planning such an exercise.

Bruegel, a Brussels based European think tank, has published a paper considering the value added by CBDC in the context of the euro area.

Following industry wide consultation at the end of 2022, the Australian Federal Government has published its Strategic Plan for the future of Australia’s payments system setting out a number of policy objectives and priorities. The plan outlines the government’s commitment to ensuring that the country’s payments system is safe, affordable, trusted and will remain readily accessible.

The Dutch Finance Minister has proposed legislation to ensure the provision of cash facilities, at least to a basic level. The legislation builds on the results of a PwC study on the future structure of the system for banknote and coin deposits and withdrawals for consumers and retailers.

With the publication of the IMF paper ‘Measurement and Use of Cash by Half the World’s Population’, and the Cash Essentials rebuttal, a new paper about demand forecasting by the Banca d’Italia is timely and adds to the discussion.

The Bank for International Settlements has published ‘A Handbook for Offline Payments with Central Bank Digital Currencies’.

Many countries are facing falling cash demand, which is causing problems in the cash cycle. This report, by Paul Blond of the Blond Group LLP, shows the compromises having to be made in Australia as a result.