HELSINKI, March 4 (Xinhua) -- Sweden's central bank this week updated a recommendation urging households to keep around 1,000 Swedish kronor (about 109 U.S. dollars) in cash at home, in light of what it called "the deteriorating international situation."
The Riksbank's guidance is aimed at ensuring households can pay for essential goods for about a week in the event of disruptions to digital payment systems.
Aino Bunge, first deputy governor of the Riksbank, told Swedish news agency TT that the dramatic developments in the Middle East since Saturday reflect broader unease.
However, she stressed, "It's not something that prompted this particular communication. But of course, it illustrates the concern that exists in the world around us."
The Riksbank said the amount of 1,000 kronor should be treated as a general benchmark, and may need to be adjusted based on a household's specific needs. Bunge said the recommendation is based on calculations by Sweden's Consumer Agency on typical food consumption.
The Riksbank also encouraged households to use cash periodically to help keep the cash system functioning.
Swedish households made unusually large and frequent cash withdrawals after the Russia-Ukraine conflict began in 2022, TT reported. Recent measurements show that just over 40 percent of households already have at least 1,000 kronor per adult at home.
Noting that Sweden has cash stockpiles, Bunge said there is no risk of a cash shortage if more households build up reserves. ■