One of the OeNB´s subsidiary is called GSA (www.geldservice.at) which operates nationwide in the field of cash logistics. GSA operates 7 cash centers nationwide throughout Austria.

• Important participants in the cash cycle are also cash in transit companies
  which deliver and return cash to banks, retailers and the service industry and offer various auxiliary services.
• Banks have sourced out a large share of their cash operations to GSA and cash transport companies and are trying to reduce their operational footprint.
• Certain retailers already offer the so called “cash-back” solution.
• A number of municipalities in Austria are paying ATM operators to continue operating ATMs in their area in order to keep cash accessible for the wider population. Whereas banks generate fee income from the usage of cards (interchange
  fee), the distribution of cash generates costs. Banks charge however for the return of cash / deposits to their accounts. The way cash is being produced and checked for fitness and authenticity is strongly regulated and not part of the challenge (Legal requirements –
  Oesterreichische Nationalbank (OeNB), Environment, health and safety (europa.eu), Banknote production and stocks (europa.eu). Euro banknotes and coins are legal tender > means of payment universally accepted, reliable and inclusive.
• We believe that cash is essential for society as it is a very inclusive form of payment.
  Cash is resilient and in times of crisis people automatically resort to cash.

The Austrian situation is in general good compared to other countries. Nonetheless while keeping an eye on the rest of Europe we need to do our homework regarding the following aspects.

• no balance between electronic payment systems and cash (customers relies on electronic payments – possibly leads to rising fees due to the lack of competition, some parts of the population may be excluded from participating in the economy; small local retailers would depend on cardschemes -fees, low bargaining  power)
  • reduced usage of cash threatens current economies of scale making cash economically non-viable, which leads to a loss of the current infrastructure.
  • less resilience: reduced local access to cash services and infrastructure if a crisis occurs or if there is a sudden increase in demand (demand is always higher in times of crisis, eg withdrawals at the beginning of the first lockdown 2020, Ukraine-crisis). Cash can be used independently of technology and
  third-party providers.
  • cash as tangible means of enabling financial literacy is lost (small children cannot have bank accounts, studies have proven that children learn to handle money best if they deal with “physical” money; Eurologisch – Finanzbildung durch die Oesterreichische Nationalbank)
  • shift to online markets, no value chain in the region

• technical enhancement for already existing ways to obtain cash (both for the public and small retailers)
• involvement of regional stakeholders
• infrastructural opportunities
• solutions for retailers and service providers to efficiently deposit their cash income (or recirculate it)
• solutions to keep cash in the cycle / the region