In recent years, the Nordic countries have moved ever closer to being cash-free societies, and anti-money laundering rules have been tightened. Cross-border transactions using Danish, Norwegian, and Swedish banknotes have therefore been subject to restrictions, which look set to be tightened further. In view of this, Íslandsbanki will discontinue the sale of banknotes from the Nordic countries (DKK, NOK, and SEK) as of 1 September 2023.
Nevertheless, those who own banknotes in any of these three currencies will be granted until 2024 to exchange them at the Bank. This will give consumers the time they need to take cash held in safe deposit boxes or in their homes and exchange it.
This decision is favourable for the environment as well as being in line with trends in the Nordic region, as it will result in fewer cross-border transfers of banknotes. Moreover, a reduction in cash transactions supports anti-money laundering objectives.