Progress on Norwegian Cash Access
Apr 17, 2023
A Norwegian grocery chain has taken steps to improve the availability of cash as bank branches and ATMs close. The ‘cash in store’ program has seen terminals installed in stores across the country, allowing people to make deposits and withdrawals. Concerns have been raised, however, around the retail sector taking responsibility for providing bank services.
NorgesGruppen is a major grocery wholesaling group that operates various retail brands around Norway. Its cash services are available to users of an extensive list of banks in all Meny and Kiwi stores, and nearly all Spar stores. Some Joker stores also have cash terminals, with the rollout ongoing.
People can deposit up to 20,000 Norwegian Krone (around $1,800 or €1,750) and withdraw up to 10,000. The service is available without requiring a purchase be made at the store.
Kim Hamre of pro-cash movement JA til kontanter (YES to cash) says the program has improved cash access in areas where bank and ATM availability is increasingly restricted, or even entirely absent. He does, however, point out there are issues with retailers taking on responsibilities that should be borne by banks, and observes the service has some shortcomings.
I spoke to the managers of a few shops offering this solution, and they said they often run out of cash and are then unable to meet the needs of the local community. Several also felt that banks were shifting their obligations onto them.
Fortunately, further support may be on its way, with the Ministry of Justice and Emergency Preparedness proposing changes to the nation’s Financial Contracts Act that would strengthen people’s right to pay in cash. This is in addition to an amendment to the Financial Enterprises Act that came into force in October 2022, requiring banks provide better cash services.