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Unpacking Czechia's devotion to cash and its currency

Rob Cameron in Prague
January 6, 2026

The new government in Prague wants to change the constitution to anchor the Czech crown as the country's legal tender and guarantee the right to use cash, not just cards. Why has it made this pledge, and will it happen?

Overlapping Czech one- and two-thousand-crown banknotes
The Czech government wants to enshrine the Czech crown as legal tender and guarantee the right to use cashImage: Gregor Macak Martin/dpa/CTK/picture alliance

The new right-wing populist government of Andrej Babis has made a firm pledge to ensure Czechia never adopts the euro.

Instead, the government will seek to enshrine the Czech crown as legal tender and guarantee the right to use cash.

"We commit that our government will not adopt the euro nor take any steps toward its introduction," reads the policy program approved by the new government — a coalition of Babis' ANO party, the euroskeptic Motorists for Themselves, and the far-right SPD — at its inaugural cabinet meeting on Monday.

The pledge was first made in the coalition's draft policy program. Pictured here: The leaders of ANO, SPD and Motorists after the signing of the coalition agreementImage: Vit Simanek/CTK Photo/IMAGO

"We will propose to parliament that the Czech crown be anchored in the constitution of the Czech Republic — along with the right to hold and use cash as legal tender."

Can the Czech government keep its promise?

It's a big promise and — for now — an empty one.

The Babis government commands 108 seats in the lower house. But changing the constitution requires a three-fifths majority, which is a minimum of 120 of the 200 lawmakers in the Chamber of Deputies.

Even if that hurdle were passed, there's the Senate to consider, and there the bar is even higher: A three-fifths majority of all senators present in the 81-seat upper house would need to support the law.

But for now, only 15 are aligned with the government.

Granted, Czech President Petr Pavel has no veto power over constitutional acts; he merely promulgates them. But the parliamentary arithmetic would seem to render this policy pledge toothless.

So, why bother making it?

A political gesture

"It's a political gesture," said Robert Brestan, editor-in-chief of the independent news outlet Hlidaci Pes (Watchdog).

Andrej Babis' coalition government describes itself as 'pro-business' but is staunchly opposed to the introduction of the euroImage: Petr David Josek/AP Photo/picture alliance

"It's an unspoken demonstration of resistance to the euro, or more broadly to the European Union, from part of the governing coalition, especially the SPD. Their voters respond to this," he told DW.

"The chance of a paragraph on 'the Czech crown for all eternity' cluttering up the Czech constitution is — in my view — essentially zero," said Brestan. "The coalition does not have the votes for it either in the Chamber of Deputies or the Senate."

Symbolism of cash

The right to use cash, meanwhile, is a common bugbear for populist and far-right parties across Europe.

It has little to do with convenience and is more about symbolism; opposition encompasses distrust of the state and its institutions; cash is framed as protection against surveillance, control or arbitrary power.

There is a widely voiced fear in far-right circles of "digitalization imposed from above," which is often linked to fears of social credit systems or "digital totalitarianism."

It chimes with anti-EU sentiment, expresses resistance to perceived Brussels-driven harmonization, and appeals to sovereignty and personal freedom.

Czechs already have right to use cash

Brestan, however, pointed out that some government representatives appear to have a personal fondness for keeping their assets under the mattress.

Filip Turek of the conservative, euroskeptic Motorists for Themselves party has stated in his asset declaration that he keeps 9 million Czech crowns in cashImage: Katerina Sulova/CTK/picture alliance

"In his asset declaration, for example, Motorist lawmaker Filip Turek said he keeps 9 million crowns [around €370,000 or $434,000] in cash. Jindrich Rajchl [a lawmaker elected for the SPD] meanwhile said he had 6 million. Which is … odd," he said.

Brestan also pointed out that the right to use cash is already enshrined in Czech law — Act No. 136/2011 Coll. on the circulation of banknotes and coins. Any merchant who refuses to accept cash is already violating the law, unless there are clear extenuating circumstances.

As he pointed out, it's usually the reverse situation — when a shop doesn't accept cards — that causes public irritation. Czechs are a digital nation with their hands constantly primed on their smartphones, ready to reach for Apple Pay or Google Pay.

What role does the euro play in all this?

Czechia formally committed itself to adopting the euro when it joined the European Union in 2004. Since then, however, successive governments have pushed back the potential adoption date.

Czechia joined the EU on May 1, 2004 but has not yet introduced the euroImage: Michael Nguyen/NurPhoto/IMAGO

With the Babis government, that point is now a faint dot blinking on the distant horizon, barely visible. The Czech population also remains mostly hostile toward adopting the single European currency.

"[Public opposition to euro adoption] is deep and the issue is politically very sensitive," said Martin Ehl, chief analyst for the economic daily Hospodarske noviny.

"The fear is connected with skepticism around the eurozone crisis in the past, feelings about sovereignty and the possibility of price rises," Ehl told DW.

"Given the traditional Czech euroskepticism — with ex-president Vaclav Klaus dominating the discourse on Europe for decades — as well as a recent upsurge in populism and nationalism, it would be political suicide for any politician or party to push for the introduction of the euro," he went on.

What do Czech businesses and citizens think?

Many Czech businesses are known to favor adopting the euro and many already use it in transactions. But Ehl said their influence on the country's politicians — even in Babis' "pro-business" government — is limited.

Czech President Petr Pavel (here with European Commission President Ursula von der Leyen in May 2025) has called for his country to at least start talking about adopting the euroImage: Nicolas Tucat/AFP

"It's a very political issue which can be hysterically misused by anybody — which is why business fears a popular backlash as much as the politicians," Ehl said.

A minority among observers believe that Czech businesses and people will slowly pivot to the euro regardless, and the government and central bank will have to follow suit.

But Ehl is not convinced.

"I don't see this as a strong shift. For example, there are almost no mortgages denominated in euros which could be a signal that Czechs trust the euro more than the crown," he said.

The final wildcard is President Pavel, who enjoys a popular mandate and has called for the nation to at least start talking about its commitment to adopting the euro under the terms of its EU accession two decades ago.

So far, it's a call that has fallen mainly on deaf ears.

Edited by: Aingeal Flanagan

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