Data shows that the value of banknotes on issue rose by $2 billion (2.3%) in June to $90 billion.
Commsec (part of CBA) have some comments on the implications:
- In times of economic uncertainty, Aussies like to have physical cash on hand. It happened in the global financial crisis and it's happening now.
- Issuance of both $50 notes and $100 notes are posting the fastest annual growth in almost 11 years.
- Hoarding of cash … a common reaction by Aussies to crises in the past and it is again a feature of the COVID-19 world. Eventually those dollars will come out of pillowcases and cupboards and find their way back to retailers or the bank. The issuance of cash is a good indicator to monitor for confidence levels.
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Given the disdain for cash at retailers, yeah, its being stashed under mattresses apparently.