The increase was also not confined to isolated spikes during periods of lockdown, but occurred on a broader scale across countries. At the end of 2020, the overall value of euro banknotes in circulation was up by 11% in the Eurosystem. This annual growth rate is high by historical standards, considering a 5% average increase over the past ten years.
However, there is evidence to suggest that the use of cash as a means of payment has declined during the pandemic. We see that from the reduced numbers of smaller denominations that are flowing through the cash cycle in Germany and beyond.