Germany is now considering a limit of $5450 on cash transactions in an attempt to stop the financing of terrorism.
The Germany governs wants to impose a limit of $5450 on cash payments in order to track the financing of international terrorism.
Local media reported that the threat of international terrorism is behind the move, and restrictions on cash have been discussed behind closed doors for some times.
Pre-paid cards and large amounts of cash withdrawn are one of the many reasons behind the move.
A ministry source told FAZ: “The world after the Paris terror attacks is no longer the same as before.’
Germany’s ruling coalition has supported the move and has already called for the imposition of a 5,000 euro limit.
“In our opinion there is no plausible or legal reason to conduct a cash transaction above this limit,” the SDP stated in a parliamentary paper last month. In addition, the party wants to ban the 500 euro banknote to stop it being used by organized crime.
“Germany is a popular destination for organized crime and the Mafia,” the SDP wrote.
In Italy, cash paymens over 1,000 euros were banned in 2011 to fight tax evasion.
