Moving money between Nordic countries is still slow and expensive despite their closely linked economies, according to an analysis by the region's central banks, The Local Sweden reports.
Sending money in euros is often cheaper than using Nordic currencies, even though Finland is the only Nordic country in the eurozone, because EU rules cap fees on euro transactions. A transfer of 1,500 Danish kroner typically costs under 1 per cent in fees in euros, but between 2 and 7 per cent in a Nordic currency. Converting twice, however, makes it hard to send an exact amount.
Ulrik Nødgaard, a director at Denmark's national bank, said regulation, competition and better infrastructure could help. Digital-only banks and the TIPS Cross Currency system, which links kroner, kronor and euros, may lower costs, though banks must choose to join it.
Source: The Local Sweden
