THE CENTRAL BANK has set targets for banks to dispense more €10 and €20 notes from their ATMs.

In an effort to make lower denomination notes more available to cash users, the Central Bank has set targets for the banks to issue more €10, €20 and €50 notes by 2018.

These targets were calculated following a study of consumer requirements and their patterns of cash usage.

Finance Minister Michael Noonan said the move follows a recommendation in the National Payments Plan (the plan aims to make savings of €1 billion annually to the Irish economy by increasing the use of electronic forms of payment such as debit cards and electronic banking).

Targets set

The targets are that 6-10% of all notes are to be €10 notes by the end of 2018, while 40-45% of all notes by volume are to be €20 notes.

A total of 45-50% of all notes are to be €50 notes.

Data from the third quarter of 2016, reveals that just 7% of all notes dispensed are €10 notes, while 34% of all notes are €20 notes. The most common note dispensed is the €50 note – with 59%.

Fianna Fáil’s Michael McGrath said making lower amounts more available would be a lot more convenient for members of the public.

“I personally can’t remember the last time I got a €10 note at an ATM machine. It would be a lot more convenient for consumers and retailers if more €10 and €20 notes were dispensed at ATM machines.”

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McGrath said cash is often needed for some services.

While the theory may be that we are moving towards a cashless society, this is far away in reality and consumers are very often forced to pay with cash, even sometimes for State services.

I recall attending an out of hours GP service with a sick child a few months back and payment could only be made in cash. I didn’t have enough cash on me and had to drive away to find at ATM. I think the targets in the National Payments Plan should be revised so that more €10 and €20 notes are dispensed.

Noonan said the Central Bank is working with the commercial banks to ensure the banks meet the new targets.

“This topic is a permanent agenda item at the National Cash Forum which is chaired by the Central Bank, and is also discussed at bilateral meetings with banks by the Central Bank,” said the minister.

He said the Central Bank requests regular updates from the commercial banks on their progress towards achieving these targets “and continues to challenge them in relation to the number of €10 and €20 banknotes being dispensed in their ATMs”.