•  The Polish government has begun bolstering cash reserves in its domestic banks, a move aimed at ensuring liquidity in the event of a financial collapse.

• Experts support this decision, describing it as a prudent measure in the face of an uncertain global outlook. However, what has attracted most attention is the message to the population: prepare for what may come, including by storing money outside banks.

Economic uncertainty is no longer a hypothetical scenario but a tangible concern. In a world battered by wars, pandemics and energy crises, governments are forced to act quickly to anticipate potential financial disasters.

Poland, in particular, has surprised with a rather unusual measure: it advises its citizens to keep cash at home, an advice that reflects fears of a possible disruption to the banking system.

Keep cash at home in Poland

The Polish government has begun bolstering cash reserves in its domestic banks, a move aimed at ensuring liquidity in the event of a financial collapse. Experts support this decision, describing it as a prudent measure in the face of an uncertain global outlook. However, what has attracted most attention is the message to the population: prepare for what may come, including by storing money outside banks.

The appeal has a clear explanation. The authorities warn that, in an extreme scenario, computer attacks or financial restrictions could limit access to ATMs or block the use of credit cards.

In view of this risk, it is suggested that households keep a reasonable amount of cash on hand, enough to meet basic needs in case of emergency. In addition, it is encouraged to reduce personal debts and diversify savings into assets such as gold or real estate, seeking to protect against market volatility.

The European context adds further stress to the situation. The economic fallout from the war in Ukraine, runaway inflation and fears of recession have led Poland to consider extreme measures. Although these decisions have caused some division among the population and economists, some see them as an example of prevention in the face of instability on the continent.

While Europe continues to be immersed in intense debates on how to manage financial risks in an uncertain economic context, Poland is setting the pace with a proactive attitude that could inspire other neighbouring countries that might see these measures as a model to follow in facing similar challenges.

Source: La Vanguardia