Nordic Countries Build Offline Payment Systems Amid Rising Tensions

The Nordic countries, including Finland, Sweden, Norway, Denmark, and Estonia, have shared new plans to create backup systems for card payments. The countries said users can pay with their cards even if the internet stops working.

According to reports, many areas have faced issues with payment disruptions, especially in the Baltic Sea area. This has caused concerns among customers. So, these Nordic nations want to provide a solution that will allow consumers to pay without disruptions.

Authorities in the Nordic countries said the new systems are important to keep the economy running without issues. Tuomas Valimaki, a member of the Bank of Finland, said there is a high chance that the country will face major problems due to the current political situation. He revealed that now, more than ever, it’s important to provide easy ways to pay when online services fail.

Norway and Denmark Already Have Offline Systems in Place

Norway and Denmark have already validated these offline payment systems to be use by businesses. Sweden said it wants to launch its own system by July two years from now, and Finland and Estonia are working on similar systems. Together, the five countries want to ensure payments continue, even if there are emergencies.

In the Nordic region, consumers mostly use digital payment methods instead of cash. For example, in Finland, only about 10% of people still pay with cash. Most individuals prefer using cards or mobile payment apps. Valimaki said this makes it more risky if the internet stops working because many depend on digital payments.

Nordic countries are also worried about threats from outside forces. Reports from intelligence agencies suggest that Russia could target important underwater cables in the Baltic Sea. Experts said these cables carry data and support communication and payment systems in the region.

Europe’s Dependence On U.S. Payment Giants Raises Questions

Another concern is Europe’s heavy reliance on U.S. companies like Visa and Mastercard. These companies control a large part of the payment systems in the region. Some experts said that depending on outside companies for such important services could be risky. There is a possibility that these companies might use their power in ways that could hurt Europe.

Although no major disruptions have been seen, officials in the Nordic countries said it’s important to be prepared for anything. They believe that offline payment systems are a good backup if something goes wrong with the internet. These systems could keep shops open and transportation running during times of digital failure.

Authorities across Finland, Sweden, Norway, Denmark, and Estonia are collaborating to develop these backup systems for easy payments. Experts said as they work together, their efforts show that its possible for countries to share strengths and reduce payment risks.