The German Bundesbank published an update from the National Cash Forum indicating that a majority of members support rounding cash transactions in Germany to the nearest EUR 0.05. The forum asked the Federal Ministry of Finance to pursue and advance a statutory rounding rule and noted that rounding rules should be as harmonised as possible across Europe. Under the proposed approach, the total cash purchase amount would be rounded to the nearest five cents, with totals ending in one or two cents rounded down and totals ending in three or four cents rounded up. The forum linked the proposal to low public acceptance of 1- and 2-cent coins, Eurobarometer results showing a majority in favour of abolishing them, lower recirculation of these coins back to euro area national central banks, and the relatively high economic and environmental costs of producing, packaging and transporting them. Next steps rest with the Federal Ministry of Finance, which the forum asked to take the legislative proposal forward, while a uniform European solution remains outstanding.
German Bundesbank 2025-03-11
German Bundesbank’s National Cash Forum calls for legislation to round cash payments to the nearest five euro cents
The German Bundesbank's National Cash Forum reports majority support for rounding cash transactions in Germany to the nearest EUR 0.05, urging the Federal Ministry of Finance to advance a statutory rounding rule. The proposal is driven by low public acceptance of 1- and 2-cent coins, Eurobarometer findings, and the high costs of coin production and distribution. A harmonised European approach is still pending.