Sweden’s quest to move to digital payments has had an unexpected side effect: It’s moving too quickly.
The country is making the transition to mobile and digital payments so fast that authorities worry that it will be difficult to maintain the infrastructure for handling cash.
Throughout the country “No cash accepted” signs are a common sight at restaurants and stores, and now many of the country’s bank branches have also stopped handling cash, Bloomberg reports.
While using a credit card or a mobile payment isn’t too difficult for younger residents, there are people such as the elderly or in lower-incomes who aren’t as digitally savvy or connected. When businesses don’t take cash, that means that those residents are unable to shop, eat or bank there.
A broad review of the central bank legislation is now underway in Sweden to look at the situation. A report is expected from the group as soon as this summer.
