Once the euro banknotes have been introduced, the repatriation of banknotes to the central bank where they were initially issued will no longer be necessary as it will be possible to use the euro banknotes throughout the entire euro area. However, in order to cope with large migration flows, the Eurosystem may redistribute banknotes in bulk from locations with a surplus to locations with a deficit. This procedure is commonly followed in a number of countries, such as the United States. We are closely following developments in banknote circulation in the light of the availability of other means of payment and changing payment habits. Recent experience has shown that the use of banknotes is not declining.
Banknotes do have many advantages.
For example, their cost to the user is low and they are a generally accepted and efficient means of payment. National central banks and the European Central Bank are naturally studying and monitoring trends in the use of prepaid cards and electronic money.