It’s important to be aware of the local laws and regulations when traveling to Sweden, and to carry your passport or ID card as you may be required to show it to customs officials. Currency exchange offices, such as Forex and Tavex, are also available for exchanging currency or cashing travelers’ cheques. Wise is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011, Firm Reference , for the issuing of electronic money. Tipping is generally not expected in Sweden, and service charges are included in the bill. However, if you want to tip for excellent service, it’s customary to round up to the nearest 10 or 50 kronor, or around 5-10% of the bill. Card payments might not be accepted in less urbanized areas or smaller establishments.
The Swedish Krona comes in various denominations, both in paper and coin forms, making it versatile for all types of purchases, from small to large. In Sweden, you’ll often see prices listed with the abbreviation SEK or the symbol kr. While both are correct and commonly understood, “SEK” is the ISO 4217 code for the currency, used in international banking and finance. On the other hand, “kr” is more commonly used in everyday retail or when locals discuss prices. The fundamental unit of currency in Sweden is the Swedish Krona, abbreviated as SEK. You may also come across the symbol “kr” when dealing with prices or transactions.
These establishments will have signs indicating they do not accept cash, so be prepared to use a card or a mobile payment app in such cases. Understanding the banking practices in Sweden is essential for long-term residents and can even be helpful for short-term visitors who wish to manage their finances effectively. From the types of accounts available to the norms around money transfers, getting to grips with the Swedish banking system can make your life considerably easier. Although many countries are performing larger and larger share of transactions by electronic means, Sweden is unique in that it is also reducing its cash in circulation by a significant percentage. As of 2019 Sweden was still circulating more cash per person (converted to USD) than Argentina, Brazil, Turkey, India, Indonesia, and South Africa.
- The 1, 2, 5, 10 SEK coins are currently in circulation, whereas 20 SEK, 50 SEK, 100 SEK, 200 SEK, 500 SEK, and 1000 SEK notes are issued by the central bank.
- According to Skingsley, “what some consumers, smaller companies and local clubs often see as a problem, is not so much getting hold of cash, but being able to deposit it in a bank account.”
- The Swedish Krona is therefore expected to remain the currency of Sweden for the foreseeable future.
- The SEK and the euroUnder the 1994 Accession Treaty, Sweden is supposed to join the Eurozone and adopt the euro.
- Many debit and credit cards in Sweden are equipped with contactless technology, allowing quick payments without needing to enter a PIN for smaller amounts.
- The Swedish krona (SEK) has been the currency of Sweden since 1873.
Despite technically being required to be replaced by the Euro, a 2003 referendum saw a large majority of Swedes vote against the move. The Swedish Krona is therefore expected to remain the currency of Sweden for the foreseeable future. The Krona is the official currency of Sweden and is also used in some parts of Estonia, Latvia and Lithuania.
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The third design with portrait of King Charles XIV John and Jöns Jacob Berzelius (printed 1976–1988) and declared invalid on 31 December 1998. A 50-kronor banknote (3rd design since 1896) was printed 1996–2003 with a portrait of the singer Jenny Lind and on the reverse was a picture of a silver harp and its tonal range. A more secure version with the same portrait was printed from 2006 to 2011 and became invalid after 30 June 2016.
- Since 1992 it is considered a floating currency that is regulated by the Swedish central bank.
- These establishments will have signs indicating they do not accept cash, so be prepared to use a card or a mobile payment app in such cases.
- Replacement banknotes featuring Dag Hammarskjöld became valid on 1 October 2015, but were circulated in considerably fewer quantities (less than 3.5 million), thus reducing the supply of cash in Sweden.
- We’re also a community of traders that support each other on our daily trading journey.
Swedish Currency: Useful Info About Swedish Krona (SEK)
The 10,000 krona banknote was always printed in small quantities as it was one of the most valuable banknotes in the world. The first design featuring the Head of Mercury was printed in 1939 and became invalid after 31 December 1987. The second design was printed 1958 and featured a portrait of Gustav VI Adolf, and became invalid after 31 December 1991. In 1902, production of gold coins ceased, and was briefly restarted in 1920 and 1925 before ceasing entirely. Due to metal shortages during World War I, iron replaced bronze between 1917 and 1919.
Developed collaboratively by major Swedish banks, Swish initially became popular activtrades review for peer-to-peer payments and has now expanded its use to businesses, online shopping, and even charitable donations. Being well-versed in the Swedish currency and banking nuances will certainly ease your financial dealings, but there are also some everyday practices and tips that can make your experience even smoother. From rounding up prices to understanding common payment options, these are some of the practical aspects that you’ll likely encounter when dealing with money in Sweden. While major city transport systems are well-equipped for card payments, some smaller towns and rural bus services may require cash or a local prepaid travel card. As mentioned earlier, 1 Swedish Krona is subdivided into 100 öre.
In 1745, Sweden suspended its copper standard, issued irredeemable banknotes, and imposed an in-convertible paper standard. Due to inflation and major economic problems, the currency depreciated and Sweden returned to the silver standard system in 1776. The Swedish krona (SEK) has been the currency of Sweden since 1873.
History of the Swedish Kronor
The currency’s been floating against other world currencies since 1992, with the central bank acting as required to maintain the SEK value. The most commonly exchanged currency pair that involves the Swedish krona is the Euro/SEK. One of the most striking features of the Swedish financial landscape is the ubiquity of mobile payment apps, notably Swish.
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So at most places it’s not possible to pay with euros or any other currency besides the krona in cash. Before you use your card in a Swedish ATM, it’s advisable to consult with your home bank about any fees that might apply. This can help you decide whether withdrawing larger amounts less frequently might be more economical than making multiple smaller withdrawals.
However, major credit cards, such as Visa, MasterCard, and Maestro, are widely accepted throughout the country. In order to use a credit card to pay or withdraw cash, it must have a chip and a personal identification number (PIN). The digital currency is operated by the Riksbank and traded through a “Swish” app that is used by over half of the Swedish population.
Rounding Up Prices: ‘Öresavrundning’
In 1992, Sweden implemented a floating exchange rate for SEK, and it has been allowed to float against other currencies since then, with the Sveriges Riksbank occasionally intervening to stabilize the krona. A 100-kronor banknote (3rd design since 1898) was printed 1986–2000 with a portrait of the botanist Carl Linnaeus and on the reverse was a drawing of a bee pollinating a flower. A more secure version with the same portrait was introduced in 2001 and became invalid after 30 June 2017. Our currency rankings show that the most popular Svensk krona exchange rate is the SEK to USD rate. The currency code for Sweden Krona is SEK, and the currency symbol is kr.
However, ifc markets review it’s essential to note that the öre coins have largely fallen out of use and are generally not encountered in everyday transactions anymore. A more secure version with the same portrait was printed from 1997 to 2008 and became invalid after 30 June 2016. The three currencies were on the gold standard, with the krona/krone defined as 1⁄2480 of a kilogram of pure gold. Transferring money within Sweden or to other countries is generally straightforward.
Between 1873 and 1876, coins in denominations of 1, 2, 5, 10, 25, and 50 öre and 1, 2, 10, and 20 kronor were introduced. The 1, 2 and 5 öre were in bronze, the 10, 25, 50 öre and 1 krona and 2 kronor were lexatrade review in silver, and the 10 and 20 kronor were in gold. Early Currency in SwedenDuring the medieval period, Sweden used silver currency. In 1625, however, copper coins were introduced and the currency system was switched to a bimetallic standard.
The formation of the Scandinavian Monetary Union caused the krona’s adoption, which replaced the Riksdaler at par. It came into force in 1876 and continued until the start of World War I. The Scandinavian countries were the parties of the union where the currency was called krone in Norway and Denmark and krona in Sweden. Many debit and credit cards in Sweden are equipped with contactless technology, allowing quick payments without needing to enter a PIN for smaller amounts. When making a purchase, tap your card against the card terminal, and the transaction is complete.