Scandinavian central banks in new cooperation
Press Release The central banks of Denmark, Norway and Sweden have entered into a new agreement on central bank currency swap principles to strengthen emergency action in crisis situations and promote financial stability in the region.
The agreement establishes principles for central banks to cooperate in exchanging their own currencies with each other, for example, if one or more banks in an emergency need liquidity in a Nordic currency other than their national currency.
The agreement is the result of discussions between central banks in Scandinavia since 2019. It complements the Memorandum of Understanding on Banks with Cross-Border Institutions signed by Nordic and Baltic central banks in 2016.
With this agreement as a starting point, bilateral swap agreements were concluded between Norges Bank and Sveriges Riksbank and between Danmarks Nationalbank and Norges Bank. The agreement between Danmarks Nationalbank and Sveriges Riksbank is currently being negotiated.