Oesterreichische Nationalbank –ATMs for rural areas of Austria

Oesterreichische Nationalbank, Austrian Central Bank

Austrian Association of Municipalities and the Austrian Association of Cities and Towns

24/02/2025

• The reason for the OeNB`s initiative was that securing the good ATM infrastructure operated by commercial banks in Austria alone is not enough. Cash as the core product of central banks is a product in a competitive market. The main goal of the Oesterreichische Nationalbank (OeNB) as a central bank was therefore not only to maintain the already very good supply of cash in Austria, but also to identify specific weaknesses and close gaps, because in a competitive field one slogan reigns “Good, is not good enough.”
• Therefore, we have decided to strengthen the access to cash and the resilience of the cash cycle with our initiative „ATMs in rural areas of Austria“ together with the Austrian Association of Municipalities and the Austrian Association of Cities and Towns. We will provide up to 120 additional ATMs in several stages to close gaps in rural areas to complement the existing very good network to further improve the cash access in Austria.
• Priority will be given to rural communities that meet the following criteria: No ATMs or bank branches in the community, Minimum population of 500, Average distance to the nearest ATM at least 2 km, Reduction in the average distance to the nearest ATM thanks to the newly installed machine: at least 1 km
• 48 municipalities preselected by the OeNB have registered a need for the initial rollout of new cash dispensers. Following an evaluation of the initial rollout, we have up to 40 applications for the second round.

Austria

• Beyond maintaining the very good current network of ATMs by our commercial banks, the OeNB actively strengthens the resilience of the cash cycle by expanding access where gaps exist. Through the initiative “ATMs in rural areas for Austria,” up to 120 new ATMs will be installed in underserved regions. This improves regional equity and ensures that rural communities remain reliably connected to essential financial infrastructure.
• The program also acknowledges cash as a competitive product and proactively enhances its availability to maintain its relevance in an increasingly digital payments market. The OeNB ensures that Austria’s cash system remains robust, accessible, and resilient to market-driven declines. Overall, the program enhances national financial infrastructure, reinforces customer trust in cash, and secures Austria’s role as a European model for resilient cash supply systems.

• The aim of closing the gap is to ensure access to cash in the long term and to strengthen financial inclusion in Austria. Cash is the premium product of central banks. Our concern is to promote conditions that enable all Austrians, who want to use cash, to access cash. A comprehensive cash supply by banks strengthens financial participation and economic stability. Priority will be given to rural communities that meet the following criteria: No ATMs or bank branches in the community, Minimum population of 500, Average distance to the nearest ATM at least 2 km, Reduction in the average distance to the nearest ATM thanks to the newly installed machine: at least 1 km

• All contractual agreements are fixed until 2029 in any case. At the same time, the definition of sufficient density for an ATM network is also part of the Single Currency Package currently being negotiated in the European Council.

• International experience shows that many EU countries are witnessing a partially massive and accelerated reduction in ATMs — especially in rural and economically weaker regions. This trend is driven by digitalization, changing cash user behavior, and the promotion of profitable digital payment methods. As a result, people are dissatisfied with the cash infrastructure and are therefore limiting their use of cash, as access is becoming more difficult. We see this as a vicious circle.
• Several countries are already responding with legal safeguards and cooperative models to maintain cash access. These developments highlight that access to cash is increasingly recognized across Europe as both a legal and practical issue. There is a clear trend toward ensuring long-term protection of cash as a means of payment through several initiatives and legal measures, underscoring its importance for economic stability and consumer protection. The density of the ATM network must be clearly defined in the future. (see also Single Currency Package)
• Cash as the core product of central banks is a product in a competitive market. The main goal of the Oesterreichische Nationalbank (OeNB) as a central bank was therefore not only to maintain the already very good supply of cash in Austria, but also to identify specific weaknesses and close gaps, because in a competitive field one slogan reigns “Good, is not good enough.”
• A shift in user behavior regarding cash must not lead to the dismantling of cash infrastructure. Access to cash is a basic need and a core task of commercial banks, managed and driven by central banks.

The agreement was preceded by numerous working group meetings with key stakeholders in Austria.