Cash Remains a Viable Payment Option: RBA’s 2025 Consumer Payments Survey
Contrary to the belief that digital transactions are completely replacing cash, data from the Reserve Bank’s 2025 Consumer Payments Survey shows that cash usage has not only remained stable over the past few years but has even seen a slight increase. In fact, approximately 15% of weekly payments, by number, are made in cash. This figure represents a rise from the 13% share for cash payments recorded in 2022.
Analysis of Cash Payments in Value Terms
When analysed in terms of value, the share of payments made in cash was comparably steady at around 8%. However, the percentage of in-person payments made in cash was higher, standing at 19% by number and 16% by value. This indicates that despite the growing popularity of digital payment methods, cash still plays a significant role in the consumer payments landscape.
The Reserve Bank of Australia (RBA) corroborates these findings with data from other high-frequency cash use measures, such as ATM withdrawals and deposits made at cash-in-transit depots.
Cash Use Across Consumer Spending Categories
The RBA further notes that cash use has either held steady or increased across all consumer spending categories. This trend is not only confined to a particular demographic or income group. As per data obtained from a field survey of 1200 people conducted by Ipsos for the RBA, around half of Australians used cash in a typical week. While cash usage was somewhat more prevalent among older Australians and lower-income households, people from all demographic groups regularly used cash for payments.
The Importance of Cash Accessibility
The survey’s findings also highlighted the importance of cash accessibility for many Australians. According to the RBA, about one-third of Australians would face hardship or significant inconvenience if cash was difficult to access or if shops did not accept cash. This fact underscores the critical role that cash still plays in our society, especially for emergency transactions or in situations where electronic payments are not available.
The RBA has been conducting the Consumer Payments Survey every three years since 2007. The results of this survey provide invaluable insights into the evolving consumer payments landscape and the continued relevance of cash. In due course, the RBA plans to release findings pertaining to electronic payments.
Through these meticulous studies, the RBA continues to demonstrate its commitment to understanding and responding to the payment preferences and needs of consumers, thereby ensuring the resilience and efficiency of Australia’s payment system.
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