ECB Introduces Cash Limits in Spain Ahead of Digital Euro Rollout

The European Central Bank (ECB) is planning to introduce new spending limits on cash in several countries, including Spain. As of July 10, 2027, a cash payment limit of €10,000 will be enforced for all commercial transactions in Euros. This means that merchants will not be able to accept cash payments exceeding this amount, and customers who attempt to make such payments may face scrutiny.

For transactions between €3,000 and €10,000, merchants will be required to verify the customer's identity before processing the payment. This is aimed at preventing money laundering and ensuring that all financial transactions can be linked to individuals, even if cash is used.

The ECB's plan is part of its move towards a digital Euro, which would create a central bank digital currency (CBDC) overseen by the ECB. The rollout is planned for 2029, with the aim of reducing reliance on US payment systems such as Visa and Mastercard.