anywhere in the euro area with risk - free digital money – for example, when making payments online, which preclude the use of cash. in any event, a digital euro would complement cash, not replace it. this is also why we launched the process for redesigning our banknotes6. the redesign is part of a long - term development process to ensure that the next generation of euro banknotes will continue to be secure, accepted and an efficient means of payment. we will keep the parliament informed throughout the process and will seek input from citizens on the theme and design of the new banknotes, before making our final decision in 2024. thereafter, the roll - out of the new banknotes will be planned. the redesign of our banknotes is a unique opportunity to make them more relatable to europeans of all ages and backgrounds, thereby offering a new symbol of european integration. for more than 20 years now, euro banknotes and coins have circulated smoothly. they are a 1 / 2 bis central bankers'speeches tangible testament to the euro ’ s success. the cash in our pockets reminds us that, despite our diversity, we share a common endeavour that goes beyond national borders. 1 european commission ( 2021 ), standard eurobarometer 95. 2 ecb ( 2021 ), the impact of the euro on trade : two decades into monetary union, occasional paper no 283. 3 ecb ( 2021 ), annual review of the international role of the euro. 4 the eurosystem cash strategy. 5 ecb ( 2021 ), eurosystem launches digital euro project, press release. 6 ecb ( 2021 ), ecb to redesign euro banknotes by 2024, press release. 2 / 2 bis central bankers'speeches

. en. html 9 / 17 12 / 18 / 2020 the importance of trust for the ecb ’ s monetary policy a study by mellina and schmidt ( 2018 ) concludes that the link between these characteristics also affects households ’ inflation expectations. in addition to advanced ( objective ) knowledge regarding the central bank, the subjective perception of one ’ s own monetary policy expertise also seems to affect trust in the ecb. based on german data, hayo and neuenkirch ( 2014 ) conclude that – in addition to expert knowledge about the ecb and monetary policy – individuals ’ subjectively perceived understanding of the ecb has a significant positive effect on respondents ’ trust in the institution. [ 16 ] in a similar vein, cruijsen and eijffinger ( 2010 ) show that in the netherlands, respondents tend to trust the ecb more if they view themselves as knowledgeable in the area of monetary policy. ehrmann et al. ( 2013 ) observe that there is a link between general support for eu institutions and trust in the ecb. [ 18 ] kaltenthaler et al. ( 2010 ) show that trust in the ecb is greater in respondents who believe that their country ’ s interests are represented in the eu and who are satisfied with the functioning of democracy in the eu. studies also allow for a distinction to be drawn between those factors that affect trust in the ecb and support for the euro. bergbauer et al. ( 2020 ) carry out an empirical analysis which shows that support for the euro tends to be related to respondents ’ agreement regarding the general values of european cooperation. trust in the ecb, on the other hand, hinges more on the citizens ’ satisfaction with the concrete performance of the eu – and in particular its economic achievements. trust in the ecb during the pandemic – initial findings these insights highlight the importance of successful economic policy to sustain and strengthen citizens ’ trust in public institutions in the long term. the severe economic crisis resulting from the covid - 19 pandemic is therefore a major challenge to citizens ’ trust in the ecb, the euro and the european union in general. at the beginning of the pandemic period, the ecb was confronted with a dramatically deteriorating situation in financial markets. a rapid surge in uncertainty prompted market participants to abruptly withdraw funds invested in risky asset classes. risk premia in many market segments rose sharply and funding conditions worsened markedly. however, the ecb ’ s swift and decisive policy response