French Cash Cycle Trends

Last year the Banque de France (BdF) published a report on cash usage in France. Key findings were:

• The decline in banknote inflows at cash cycle exchange points, based on full year 2024 data, matches the 2017-19 trend before the COVID pandemic, -3.6% per year.
• 52% of banknote recycling happens outside BdF facilities (see infrastructure changes below).

The gap between outflows and inflows varies only a little, with outflows always slightly higher, but still falling, -2.2%. The higher rate of outflows compared with in-flows indicates that banknote demand remains strong.

Net outflows were 21.7% higher than 2023, where outflows had fallen in response to interest rates rise to counter inflation.

BdF infrastructure changes

In 2022 BdF reduced its cash centres from 37 to 23 but opened 16 stocks auxiliaires de billets (SABs – auxiliary banknote stocks) in partnership with the cash-in-transit firms Brinks and Loomis and located on their premises. Notes held in SABs belong to the BdF and are recorded in the BdF’s accounts. Spain, Portugal and Finland run similar systems.