New Zealand's Reserve Bank has issued a statement pointing out how important cash is to the economy. They are commencing moves that require banks to make cash available, quickly and easily.
Cash is of paramount importance. NZ is regularly impacted by natural disasters and the power can be out. Cash is all that works in such times, forget credit cards.
Remote rural communities, these days, often have no cash withdrawal or deposit machines, leading to long drives to major towns and cities to do just a little banking. This works as a major handbrake on the country as a whole.
Credit where credit is due, it appears the Reserve Bank has listened to voices shouting loud and clear; cash is critical, we must keep cash.
RBNZ director of money and cash Ian Woolford said providing and handling cash should be a basic banking service.
"We believe banks must provide cash services to customers, free-of-charge, because cash is an essential part of a customer's relationship with their bank."
He said banks had been reducing the places where customers could get cash, bank cash or get change, especially in rural areas, with about 40 percent of bank branches closed over the past decade.
"We want this to change, and we are open as to how," Woolford said.
"Cash benefits society, as it is used for economic, social and cultural reasons, and as the steward of cash we are focused on ensuring the cash system is healthy and available."
