The Økokrim report shows that much of Norway's cash is used in the criminal economy. Norwegian authorities therefore do not receive information about who is withdrawing large sums of cash or when they are leaving the country.
The value of cash in Norway is now about the same as it was in 1996, at around 40 billion NOK. This is despite the fact that the recorded use of cash has declined and the use of digital payment solutions has increased.
– Few people use cash in Norway today. So you might think that cash holdings are generally decreasing. This is not the case and there is reason to believe that much of the cash held is now being used in the criminal economy, says Økokrim chief Pål Lønseth.
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Every day, 57 kilograms of banknotes leave Norway
If we assume that in NOK 10 billion was exported during the year. This means 27,4 millions NOK leaves Norway every day, which corresponds to approximately 55 pieces of 000 kroner banknotes, which means approximately 500 kilograms of 57 kroner banknotes leave Norway every day.
Every year, 8 to 10 pledges are made for Norway billion NOK. The declared amount is only a fraction of this amount. This suggests that money is taken out of the country undeclared, e.g. for laundering purposes, and then reported and put back into circulation in Norwegian economy.
– This clearly illustrates that the scope of the criminal economy is very large. Probably much bigger than that most of the people thinks. Moreover, money laundering takes place without the use of cash, Lønseth claims.
A number of seizures of Norwegian cash en route from Norway to Europe indicate that the amount per shipment may be significant. For example, in early 2023, a total of 23 were found in four trucks in Sweden millions NOK.
Criminals are changing their modus operandi
In spring 2023, a restriction was introduced on accepting Norwegian cash from abroad. This means that organized criminals now find it difficult to launder money and replenish illicit goods. Restrictions on receiving Norwegian cash from abroad have already led to a change in the way criminals operate.
– These entities can adapt, and Økokrim sees that criminals are currently using different ones methods money laundering, for example, they are more likely to use cryptocurrencies and other currencies such as euros and dollars, says Lønseth.
Control of cash circulation should be increased
It is important to follow further developments closely and for authorities to work together to implement larger number measures that can prevent such money laundering operations. In its report, Økokrim presents several proposals for actions that should be worked on in several directions. Cooperation and the knowledge base should be improved and cash circulation control should be increased. Using cash to launder money should also have greater consequences for criminals.
– Most of the cash circulating in Norway and beyond is likely linked to the criminal economy and part of money laundering operations. This is a complex problem with no simple solutions. Therefore, in cooperation with others, we will work more intensively on measures to reduce the scale of money laundering through Norwegian cash, says Lønseth.
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Source: Økokrim
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