00:00No, Norway and Sweden haven't banned digital transactions.
00:07A narrative is going round online that Norway and Sweden are doing away with e-money
00:11and are returning to a fully cash-based society.
00:14For example, this post says that the countries are now back to paying in cash
00:18because they've supposedly understood that it's the most secure payment method
00:22as digital accounts allow the authorities to block your transactions.
00:26This post, meanwhile, says that Sweden is going back to cash
00:29because digital payments are allegedly a threat to national security.
00:33However, these assertions aren't quite accurate.
00:36They appear to have their origins in news reports over the past few months
00:39that both countries are putting the brakes on their plans for cashless societies
00:43over fears that fully digital payment systems could leave them vulnerable to Russian cyber attacks.
00:49As things stand, Norway and Sweden have the lowest amount of cash in circulation
00:53as a percentage of GDP in the world, according to recent figures from the central bank in Stockholm.
00:59But now, Sweden is encouraging citizens to use cash regularly
01:02and keep a weak supply of cash at home to use in the event of a crisis or war.
01:07Norway, meanwhile, recently brought in legislation that fines retailers if they don't accept cash
01:12and also advised people to keep some cash on hand in case digital payment systems are attacked.
01:18The central bank of Sweden told Euroverify it's not abandoning digital payments
01:22and that it's continuing with its plans to bring in an e-krona.
01:26The misleading narrative online appears to feed into fears of digital currencies,
01:30in particular the digital euro envisaged by the European Central Bank.
01:34Opponents of the digital euro say it could damage privacy, financial control and security
01:40and even fully supplant cash.
01:42However, the ECB and its president Christine Lagarde have repeatedly said
01:46that a digital euro would complement cash, not replace it, and it would be safe,
01:51make payments more efficient and be easy for all to use.
01:56European Central Bank
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