In a blackout, cyber attack or even a war scenario, digital payments can fail from time to time. And when this happens, access to cash can be the difference between ensuring essential goods or running out of alternatives. The European Central Bank (ECB) recommends that each citizen hold a minimum cash reserve at least 72 hours at home.
According to Leggo, Italian daily newspaper, the orientation comes in an article in the ECB Economic Bulletin entitled “Keep Calm and Carry Cash”. The text underlines that the notes remain “an essential component of national preparation for crises”, functioning as an instrument of resilience not only for each individual, but also for the stability of the entire economic system.
How much money should have at home
According to the same source, some countries such as the Netherlands, Austria and Finland have advanced with specific recommendations: between 70 and 100 euros per person, in notes, to cover immediate expenses for three days. The logic is simple: this value should be enough to ensure food, water, medications or other basic goods until normal is restored.
The value has now been updated
The one had previously reported this theme, when the ECB recommendation pointed to lower reserves: about 70 euros per adult and 30 euros per child. Now, the institution has reinforced the importance of cash and has increased the suggested value, arguing that the new bar ensure a safety margin greater than geopolitical instability and increased risks of digital failures.
This adjustment shows that concern for crisis scenarios is not only theoretical, but accompanies the evolution of recent threats.
The ECB stresses that the usefulness of physical money increases whenever stability is called into question. “Regardless of the nature of the crisis or the level of digitization of a country, cash remains as a security network,” reads the mentioned document.
Recent crises lessons
The legging writes that the pandemic revealed a phenomenon of liquidity accumulation as many families have made more money at home per precaution, in the face of months of uncertainty.
Another example arose with the invasion of Ukraine by Russia, which led to an immediate and localized demand from cash in the nearby areas. According to the same source, this increase occurred regardless of the digital modernization of the economies involved.
The Iberian blackout, in which technological failures affected payment systems, also showed the relevance of the notes in circulation. Under these circumstances, the physical money explains not only as a means of exchange, but as an instrument of public trust, widening its effect to regions that were not directly affected.
Prepare the unexpected
The central message of the ECB is clear: digitization does not eliminate the importance of physical money. Having a home reservation can guarantee immediate access to essential goods when digital systems collapse.
Thus, the official recommendation is unambiguous: maintaining between 70 and 100 euros per person in cash, safely kept, can be decisive to cross the first 72 hours of any emergency, be it a blackout, war or a natural catastrophe.
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