Swiss to vote on the future of cash on March 8

(Patria) - Swiss citizens will decide in a referendum on March 8 whether the availability of cash should be guaranteed by the Constitution.

The ballot will include both a popular initiative and a counter-proposal from the federal government, reports Swissinfo.

Although the use of cash in Switzerland has significantly decreased in recent years, most citizens want it to remain in circulation.

According to data from the Swiss National Bank, the share of cash payments fell from over 70 percent in 2017 to around 30 percent in 2024, while among young people aged 15 to 34, less than 20 percent use cash.

Nevertheless, more than two-thirds of respondents state that they want to retain the option of paying with cash.

The referendum will vote on the initiative "Cash is Freedom", launched by the Swiss Freedom Movement (MSL), as well as the government's counter-proposal.

The initiative requires that coins and banknotes be permanently available in sufficient quantities and that any replacement of the Swiss franc with another currency must be approved in a referendum.

The government's counter-proposal stipulates that the Constitution should state that the Swiss franc is the national currency and that the National Bank is obliged to ensure the supply of cash, but without specifying quantities.

Voters will first vote on each option individually, and then on which one they prefer if both are accepted. Such a procedure has not been seen at the federal level for about 15 years.

While the initiative is supported only by the right-wing Swiss People's Party, the counter-proposal has almost unanimous support from parliament, cantons, business associations, banks, and trade unions.

The government believes its proposal achieves the goal of preserving cash without limiting the powers of the Swiss National Bank.

However, the initiative organizers warn that the counter-proposal does not guarantee citizens actual access to cash, as banks would not be obliged to maintain branches and ATMs, and they fear that this could pave the way for the introduction of a state digital currency instead of physical money in the future.