Covid-19, cash, and the future of payments

Key takeaways

• The Covid-19 pandemic has fanned public concerns that the coronavirus could be transmitted by cash.
• Scientific evidence suggests that the probability of transmission via banknotes is low when compared
  with other frequently-touched objects, such as credit card terminals or PIN pads.
• To bolster trust in cash, central banks are actively communicating, urging continued acceptance of cash
  and, in some instances, sterilising or quarantining banknotes. Some encourage contactless payments.
• Looking ahead, developments could speed up the shift toward digital payments. This could open a divide
  in access to payments instruments, which could negatively impact unbanked and older consumers. The
  pandemic may amplify calls to defend the role of cash - but also calls for central bank digital currencies.