Denmark’s government has proposed scrapping the obligation for some of the country’s retailers to accept cash.
Nearly one third of the population already use the MobilePay smartphone application for transferring money to other phones and shops. Denmark and Nordic neighbours Sweden and Finland have the most credit card payments per inhabitant within the European Union (EU).
The proposal, if accepted, would mean businesses such as clothing retailers, petrol stations and restaurants will no longer be legally-bound to accept cash from 2016. As debit or credit cards are routinely used for even the smallest payments in Denmark, any resistance is likely to be minimal.
The proposal is part of a pre-election package of economic growth measures aimed at reducing costs and increasing productivity for Danish businesses. However, there are concerns that a complete move to electronic payment could increase the risk of fraud. Sweden has seen such cases have doubled in the past decade.
Danske Bank, the country’s biggest bank and owner of MobilePay, has already acted to prevent fraud by linking the app to NemID, a digital signature linked to the Danish equivalent of individuals’ national insurance number.
Financial inclusion, digital banking, omnichannel payments and even lightsabers were discussed on the second day of Money 20/20 in Las Vegas this year.
On day one of SIBOS, panellists unanimously agreed that doing nothing to modernise payments was no longer safe bet for transaction banking.
On day one of Sibos 2017, Stefan Dab, The Boston Consulting Group led a conversation examining the future of correspondent banking, and specifically the pain points corporate treasurers face in their cross-border payments operations and where technology can be developed to alleviate these.
Rising interest rates, excitement around blockchain use cases and cross-border payments were all hot topics at this year's AFP conference in San Deigo.