The cash supply

Danmarks Nationalbank and the banks work closely together to ensure the supply of cash to Danish citizens and businesses. Danmarks Nationalbank is responsible for issuing the cash needed to keep society running at all times.


The flow of cash through the system starts and ends at Danmarks Nationalbank. Danmarks Nationalbank is responsible for the production of banknotes and coins, for the quality assurance of banknotes and coins and for delivering them to the cash depots. In the past, banknotes were produced in Danmarks Nationalbank’s building in Copenhagen, but in 2018 Danmarks Nationalbank entered into a contract with Oberthure Fiduciaire in France on the printing of Danish banknotes. Danish coins have been supplied by the Mint of Finland since 2017. Production in France and Finland is subject to strict security requirements. Danmarks Nationalbank undertakes quality assurance and inspection of production in both places.

When banknotes and coins have been used for some years and are no longer fit for circulation, they are returned to Danmarks Nationalbank, which is responsible for destroying them.

Cash depots and counting centres

The cash depots are used to store cash for the banks. There are four cash depots in Denmark, two on Zealand and two in Jutland. The cash depots are owned by Nordea and Danske Bank, but can serve all banks in Denmark. Typically, banks take out the amount of cash in the morning that they expect to need during the day, and any excess cash is returned to the depot in the evening.

The cash is counted and sorted at the counting centres affiliated with the cash depots. Any banknotes and coins that are deemed to be unfit for circulation are separated out and returned to Danmarks Nationalbank.

Danmarks Nationalbank exchanges any banknotes that are too worn or damaged. In 2021, Danmarks Nationalbank exchanged

29 million banknotes,

corresponding to 15 per cent of the banknotes in circulation. The lifetime of banknotes depends on how much they are used. A 50-krone banknote usually lasts three to four years, while a 1000-krone banknote usually lasts more than ten years.

Cash-in-transit companies

Cash is transported from the cash depots to the locations around the country where it is needed, i.e. to bank branches, ATMs and large retail chains that have entered into agreements on cash delivery services.

The Danish banks have gradually handed over the transporting of cash to specialist cash-in-transit (CIT) companies. In Denmark, there are two CIT companies: Nokas and Loomis. Nokas and Loomis also run the cash depots for Danske Bank and Nordea.

The use of cash for making payments has

halved between 2017 and 2023

in Denmark. However, cash is not going to disappear completely any time soon.

Banks, ATMs and retail trade

Individual banknotes and coins can circulate for a long time and pass through many hands as they are used by citizens to pay for goods or services or in the retail trade.

Retail stores and citizens can deliver any excess cash, e.g. in the form of change, to selected bank branches and ATMs. From there, the cash is circulated among the banks via the counting centres. Only banknotes and coins that are unfit for circulation are returned to Danmarks Nationalbank for destruction.

Citizens

Some banknotes and coins end up in the hands of citizens, who use them as a means of payment or as a store of value. The use of cash for payments has almost halved from 2017 to 2023 in Denmark. However, total cash in circulation in Denmark remains high, which means that there is still a demand for cash as a store of value. Cash is therefore not expected to disappear completely any time soon.