Norway mandates cash acceptance for transactions under $2,500
Despite earlier plans to abandon traditional money, the Norwegian government has introduced regulations ensuring the universal possibility of paying with cash. The habits of older people and security considerations justify this decision.
From October 1, all Norwegian entrepreneurs must accept cash payments from customers if the amount does not exceed $2,500 CAD (approx. $2,100 CAD). Exceptions include medical practices and public transport.
The Minister of Justice and Public Security, Emilie Enger Mehl, admitted in an interview with TV2 that not all citizens use digital forms of payment. According to the latest research, as many as 600,000 Norwegians consciously do not use electronic payment solutions. This accounts for more than 10 percent of the country's population, with a predominance of seniors.
We need to turn our attention to people who have difficulty using digital payment methods. In today's world, it’s easy to forget that there is a large group of people who are not digital – Enger Mehl emphasized.
Norwegians pessimistic about moving away from cash
She also added that keeping cash will prepare Norway for potential failures of electronic payment systems – both caused by technical reasons and interference by foreign special services or hacker groups. In such situations, cash, according to Enger Mehl, is the safest solution.
However, accountants expressed their doubts. Regnskap Norge, the largest Norwegian business chamber associating accounting specialists, called the new regulations a "gift for criminals" in a statement.
Rune Aale-Hansen, the Director General of the chamber, emphasized that it is criminals who most willingly use cash. He also argued that according to his institution's calculations, "the complete abandonment of cash could reduce the cost of doing business in Norway by over $1.3 billion CAD (approx. $1.1 billion CAD)".
