The Scandinavian nation is set to remove the note, its largest denomination, as legal tender in 18 months time.
Denmark, where cash is seldom used, is set to withdraw 1,000 crown (approximately €134) notes, its largest denomination, from circulation by May 2025.
“With the evolution of Danes’ payment habits, the 1,000 crown note is no longer necessary,” Christian Kettel Thomsen, the director of Nationalbanken, said on Thursday.
In the Scandinavian country, just 10% of payments in stores are made in cash – that’s already half as much as in 2017.
In 90% of cases, purchases amount to less than 500 crowns (about €67).
That’s relatively unusual compared to much of the eurozone, where more than half of commercial payments are made in cash.
Making the announcement, the Danish central bank set out its intention to continue the fight against economic crime.
“We are also listening to the concerns and wishes of the police, the financial sector and the retail sector… the 1,000 crown banknote is used to a greater extent than other banknotes in the framework of various forms of financial crime,” the bank underlined.
The 1,000 crown note entered circulation in 1975 due to very high inflation.
After May 2025, Denmark will have just four banknotes remaining: denominations of 50, 100, 200 and 500 crowns.
Source: Euronews
