This has not deterred government from attempting to impose restrictions, the ECB will next year eliminate the 500 euro note — believed to be a criminal and terrorist favorite — leaving the 200 euro bill as the biggest denomination.
However, the German government’s proposal to cap cash payments at 5 000 euros drew protests from the public, who got support from an unlikely source.
Central bank governor Jens Weidmann weighed in on the debate, telling the press: “It would be fatal if citizens got the impression that cash is being taken away from them.”
German taxis, however, do not seem to have a problem with card payments.
The taxi service, which typically operates using Mercedes Benz E-class estate cars and coupes, including the 2015 version currently in use by Zimbabwean cabinet ministers, accept credit cards.
Other food and clothing retailers did take card payments, including my debit VISA card issued by one of Zimbabwe’s international banks.
While there are other factors behind Germans’ affinity for physical lucre, including aversion for consumer debt and the need to assert freedom and anonymity, past financial follies do seem to play a significant role.
This factor bears similarities, and lessons, for Zimbabwe’s policy makers and the public alike.
By Nelson Banya -The Source
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