Sweden and Norway are backtracking on their bid to become cashless societies amid concerns that Russia could exploit digital payment systems.
While Sweden was predicted to go cashless in 2025, Vladimir Putin’s invasion of Ukraine in 2022 has led to a rise in cyberattacks by pro-Russian groups, prompting the Scandinavian country to rethink the way it Swedes will pay for goods and services.
The Swedish Ministry of Defense now advises people to use cash regularly and keep at least a weekly reserve of money in different denominations.
It also encourages people to use different payment methods, such as bank cards and digital payment services.
The government’s advice will be included in a leaflet sent to every home next month titled “If Crisis or War Comes”.
Closeup of a female hand using her smartphone to scan and pay a bill in the restaurant during the day
While Sweden was predicted to go cashless in 2025, Vladimir Putin’s invasion of Ukraine in 2022 has led to a rise in cyberattacks by pro-Russian groups, prompting the Scandinavian country to rethink the way it Swedes will pay for goods and services.
Sweden’s Defense Ministry now advises people to use cash regularly
“If you can pay in several different ways, you can strengthen your preparation,” the brochure says.
Meanwhile, Norway is following in its neighbor’s footsteps: The government this month enacted legislation preventing retailers from accepting cash.
Norway’s Ministry of Public Security said it “recommends everyone to have some cash on hand due to the vulnerabilities of digital payment solutions to cyberattacks” due to “increasing global instability with war, digital threats and change climatic”.
The measures taken by Norway and Sweden come after the dangers of a cashless society were exposed over the summer when a technological error triggered “the world’s largest IT meltdown”.
In what was dubbed a “digital pandemic,” a failed software update sparked global chaos as computers crashed in stores, banks and hospitals.
Separately, Google had to urge its users to keep its software “fully updated” after discovering a nine-month cyberattack that linked Russian spies.
Google cybersecurity researchers warned that there is broader concern that this form of attack could be replicated, not only by Russian state-sponsored hackers but by any well-trained team using these same spyware tools.