ICA contribution to the Reserve Bank of Australia consultation on its issues paper: ‘Review of banknote distribution arrangements’
The International Currency Association (ICA) welcomes the opportunity to contribute to the RBA’s consultation on banknote distribution arrangements and commends the RBA for taking action on this crucial issue. Cash is an essential factor for personal freedom and privacy, as well as social inclusion, and is the only means of payment that is itself a public good.
The ICA takes the occasion of the Reserve Bank of Australia’s consultation on its issues paper, ‘Review of Banknote Distribution Arrangements’, to contribute its reflections and international examples on the issue insofar as they relate to access to cash, availability, and acceptance, addressed in the issues paper’s section 4.3, ‘Responses to changes in the cash environment’, where the RBA also outlines some of the international responses in this field.
We commend the Reserve Bank’s initiative to seek further solutions in this area. The RBA consultation comes at a significant and timely moment. In many countries, including Australia, protecting access to cash has become all the more salient in light of the false information that has been circulating regarding cash during the pandemic. Indeed, in the midst of the COVID-19 crisis, many retailers—and some consumers—have fallen victim to disinformation suggesting cash may be a vector of transmission, despite all public health guidance showing that cash holds no greater risk than cashless payments.
The ICA hopes that the answers the RBA will collect on the important questions asked in this consultation will also be able to serve as guidelines for other countries. The ICA will gladly contribute to sharing best practices identified by the RBA in this consultation process.
