Bank of Portugal recommends having physical cash

The Bank of Portugal (BdP) has joined other European banks in recommending that citizens should have some physical cash at home to respond to times of crisis, such as the power outage that occurred on April 28.

There is no defined amount, but some authorities recommend 70 euros per adult and 30 euros per child.

"Both the number of transactions and the amount withdrawn increased, a sign that many consumers made extraordinary withdrawals, partly to compensate for those that were not made on the day of the blackout due to the unavailability of a large number of ATMs. But it is equally plausible that a portion of the population chose to reinforce cash reserves, motivated by personal concerns and news that emphasized the usefulness of physical money in times of crisis," reads the Bulletin, published by the Bank of Portugal at the end of October.

Physical money is a "safety net"

According to the banking supervisor, there is an important conclusion to retain following the blackout: "A sudden event, such as the one that occurred, reveals that cash remains indispensable. Physical money is not just a means of payment: it is also a strategic resource for operational continuity. It acts as a safety net, ensuring that the economy continues even when technology fails."

Therefore, it is "essential to preserve a capillary network of cash access points, distributed in a balanced way throughout the territory. On the other hand, it remains prudent for citizens to keep some physical money available," recommends the Bank of Portugal.

How much money should you have?

The European Central Bank (ECB) has also advised that citizens should have some physical money to respond to crises. So, how much money should you have saved? There is no set amount, but some authorities recommend €70 per adult and €30 per child.

At issue is an ECB study – 'Keep calm and carry cash' – which concluded that "the usefulness of cash intensifies when stability is threatened."

Among other points, the study revealed that cash is "a critical component of national crisis preparedness" and highlighted that "central banks, finance ministries and civil protection agencies in several countries now recommend that families keep enough cash available for several days for essential purchases."

"For example, authorities in the Netherlands, Austria and Finland suggest maintaining amounts ranging approximately between 70 euros and 100 euros per family member, or enough to cover essential needs for about 72 hours," reads the ECB study.

I use physical cash as much as possible and had some to spend at the time of the power outage mentioned here. We cannot rely on the digital world.

By Steve Andrews from Other on 12 Nov 2025, 10:56

The last thing I need is for yet more time-consuming and chaotic customers/dinosaurs to be causing delays in stores by paying cash, often involving fumbling for ages at the bottom of a purse looking for a particular coin. Cards are far more efficient, save time, are more secure and cost the store less - there is no need for the store to transport physical notes and coin to the bank if all payments are electronic.
It´s time people who pay cash were charged more for the nuisance and inconvenience they cause.

By Billy Bissett from Porto on 12 Nov 2025, 12:43

Oh Billy Lissett, don't you realise that your card won't work in times of power outages? Neither will cash in most places as shops won't have electric to work their tills. Depending on the length of the outages then phone signals and water supply will also be affected as both are dependent on electricity. Keep clean drinking water at home, ideally in the dark so it isn't affected by sunlight. Keep fridges and freezers closed as much as possible and have an alternative method to cook if you only have an electric cooker.

By David Clark from Algarve on 13 Nov 2025, 08:28

When there is only digital currency, the cell door slams shut on your freedom and your privacy. You are helping to preserve freedom every time you use cash and the retailer shop / market stall saves the commission they’d have to pay to the card operator.

By NB Bowles from UK on 13 Nov 2025, 12:42

The government should make sure that cash has to be accepted by every merchant. If the merchant doesn't wan to accept cash then the business should be closed down and the owner in jail.

By Tom from Lisbon on 13 Nov 2025, 20:12