28 October 2026
Despite the close economic ties between the Nordic countries, cross-border payments remain expensive for consumers. This is documented in a new joint analysis by the Nordic central banks.
In a region where many people live, work or shop across national borders, high payment costs can become a practical and recurring expense in everyday life.
“The Nordic economies are closely interconnected, but this is not sufficiently reflected in cross-border payments. There is potential to make payments between the Nordic countries both cheaper and faster. Regulation, increased competition and improvements in payment infrastructure may be important steps in that direction,” says Governor Ulrik Nødgaard.
It will often be cheaper for a consumer to transfer money between two Nordic countries in euro than in Nordic currencies. This is also the case between two countries that do not use the euro, and is due to EU rules that limit fees on credit transfers in euro. No corresponding rules apply to transfers in Nordic currencies.
A credit transfer of kr. 1,500 between two Nordic countries will generally cost less than 1 per cent of the amount if made in euro, but 2-7 per cent if made in a Nordic currency. Many consumers are unaware that they can save money by transferring in euro. There may also be practical difficulties in transferring a specific amount in another Nordic currency as the transfer involves two currency conversions: first from Danish kroner into euro and then from euro into the other Nordic currency.
Increased competition from new payment service providers, including so-called neobanks, may help reduce the cost of cross-border payments.
New payments infrastructure may also contribute to faster and cheaper payments, the analysis shows. Part of the infrastructure is already in place. The TIPS cross-currency service enables instant payments between Danish kroner, Swedish kronor and euro. If banks connect to the service, it could be an important step towards better payments across the Nordic region.
The analysis also points out that legislators may consider further regulation at EU or national level.
For press enquiries, please contact Communications and Press Advisor Teis Hald Jensen by telephone on +45 3363 6066 or by email at tehj@nationalbanken.dk.