World's Biggest Producer of Cash Is Cutting Its Output
The world’s biggest producer of cash, De La Rue, is cutting its annual output by 25%, from eight billion notes to six billion.
The move is pushed by falling profit margins as mobile payment apps like Apple, Samsung and Google Pay take over cash’s spot in the checkout line.
De La Rue CEO Martin Sutherland says the decision to cut four out of eight production lines and 300 jobs is meant to “streamline De La Rue,” as economists debate whether to cut cash entirely, Business Insider reports.
In Sweden, negative interest rates are meant to get consumers to spend rather than pay the bank to hold money.
But if Swedish consumers hide their cash under a bed instead of spend at IKEA, the interest rates don’t do much.