Sweden Urged to Prepare Cash Reserves and Address Digital Infrastructure Risks Amid Crisis Concerns

The Swedish Civil Contingencies Agency (MSB) has advised citizens to maintain 2,000 SEK in cash, including smaller denominations, to ensure they can manage essential purchases during crises when electronic payment systems might fail. This recommendation comes amid growing concerns about the resilience of Sweden's financial and digital infrastructure. MSB spokesperson Elin Bohman highlighted that the amount suggested is a practical guideline to cover a few days of emergency needs.

Cash usage in Sweden has dropped dramatically, with fewer than 10% of the population using cash regularly, down from 40% a decade ago, primarily due to digital payment methods like Swish and pandemic influences. However, a significant challenge remains as ATMs only dispense 100 SEK notes, forcing dependence on businesses for change during emergencies. Former police chief Björn Eriksson emphasized three risks tied to the move towards cashlessness: threats to privacy, system failures in crises, and discrimination against certain groups.

In parallel, a report from GlobalConnect highlights Sweden's lack of a unified strategy against digital infrastructure failures, warning of the risks of prolonged outages caused by cyber attacks and physical sabotage. Martin Lippert, CEO of GlobalConnect, described digital infrastructure as the society's 'nervous system,' vital to sectors such as banking, healthcare, and supply chains. The report advocates for treating digital networks as critical national assets, calling for enhanced collaboration between public and private sectors and between Nordic countries to improve preparedness.

The report stresses that preparedness depends on more than technical fixes; it requires ingraining shared responsibilities through institutional frameworks, joint preparedness drills, and robust backup systems. Simulation scenarios reveal how quickly essential service coordination and public trust can erode during connectivity disruptions.

Following Russia's invasion of Ukraine, Swedish citizens increased cash withdrawals, revealing vulnerabilities in the ATM system and underscoring the importance of MSB's emergency cash recommendations. This dual concern over physical cash availability and digital resilience underscores the necessity for a comprehensive national approach to crisis preparedness.