John Winchcombe
Editor
Thursday, February 5, 2026
Reading time: minutes
Categories
Cash in Circulation
The Starting Point of Payment Efficiency
When ensuring payment efficiency, the goal is to minimise the number of coins and notes required to make and settle a payment. There are many ways to achieve this. Perhaps the simplest methodology to achieve an optimal currency structure for coins and banknotes is the principle of least effort, ie. the settlement of cash transactions using, on average, as few coins and/or banknotes as possible.
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