The article discusses the increasing pressures of digitalization and the need for constitutional protection of cash in Croatia, similar to actions taken by other European countries.
As European countries increasingly digitalize their economies, there is a rising debate on whether cash should be protected constitutionally. Notably, Switzerland was the latest to enshrine such protection in its Constitution, joining Slovenia, Hungary, and Slovakia. In Croatia, while many businesses are transitioning to card payments, cash remains vital as numerous establishments only accept it and technical issues often hinder electronic transactions. Therefore, the discussion about the necessity of safeguarding cash is becoming more urgent.
The implications of moving towards a fully digital currency raise concerns about the potential risks of losing anonymity, increased surveillance on transactions, and the possibility of digital currency becoming the only mandatory form of payment. These factors contribute to the growing momentum across Europe to initiate constitutional protections for cash, as citizens express ongoing reliance on it for day-to-day transactions.
A political party in Croatia is already advocating for a constitutional amendment to protect cash, joining the wider trend in Europe that is prioritizing the preservation of this traditional payment method. As digitalization continues to reshape financial landscapes, Croatia now finds itself at a crossroads, needing to balance innovation with the need to ensure that cash remains an option for its citizens.
