• Home
  • Login
  • Register
Currency Insider
  • Home
  • Reading Library
  • CBDC Think Tank
SUBSCRIBE
No Result
View All Result
Currency Insider
  • Home
  • Reading Library
  • CBDC Think Tank
Currency Insider
No Result
View All Result

Sweden Has Some Concerns Related to Its E-Krona Plans

by CBDC Insider
January 6, 2021
in Business, Europe
Reading Time: 2min read
0
Sweden Has Some Concerns Related to Its E-Krona Plans
Share on FacebookShare on Twitter

Bankers in Sweden are concerned about the potential effect of the proposed e-Krona project on the industry. The least cash-dependent country in the world, is, like most economies around the world, seeing a decline in the number of cash transactions. The Central Bank, Riksbank, has been considering making payment digital. Per Bolund, Swedish Financial Markets Minister announced in December 2020 that the Riksbank Finance Committee is discussing the prospect of a Central Bank Digital Currency (CBDC). The inquiry is set to end in November next year. Only after then will a decision be made.

With the spread of the Coronavirus, governments and financial institutions last year were compelled to investigate, and some cases implement, the use of cashless payments. 2020 saw Central Banks around the world launching studies into the merits and demerits of CBDCs. Some countries presently exploring the option are China, Japan and Ukraine. The Bahamas and Cambodia announced the launch of their respective CBDCs in October last year.

For the average person in Sweden, the introduction of the e-Krona would make payments “as easy as sending a text”. It would also mean direct access to the Riksbank as this opens up the option of side-stepping institutions like commercial banks. The central bank also offers better security and interest rates as compared to local banks.

RELATED STORIES

Despite India’s Silence on Crypto, Reliance Retail Will Accept CBDC in Mumbai

Despite India’s Silence on Crypto, Reliance Retail Will Accept CBDC in Mumbai

February 3, 2023
Banks in Russia to Lose $700 Million a Year Due to Digital Ruble, Experts Say

Banks in Russia to Lose $700 Million a Year Due to Digital Ruble, Experts Say

February 3, 2023

And therein lies the problem for commercial banks.

Masih Yazdi, CFO at Swedish corporate bank SEB told Reuters:

“A rational household would hold its money with the Riksbank. If you have a bank account but you can – at the click of a button – move your money to the central bank… that could risk instability in the system.”

Read more: https://www.coinspeaker.com/sweden-concerns-e-krona/

Previous Post

China Extends Digital Yuan Test to Beijing as Shenzhen Holds Second Lottery

Next Post

Italian Banking Association Begins Testing of a Digital Euro

Next Post
Italian Banking Association Begins Testing of a Digital Euro

Italian Banking Association Begins Testing of a Digital Euro

© 2022 CBDC Insider

No Result
View All Result
  • Home
  • Map
  • Reading Library
  • CBDC Think Tank
  • Partners
    • DEA
  • Login
  • Register