The Strategic Pause: Norges Bank announces it does not currently support the introduction of a central bank digital currency (CBDC)
On December 10, 2025, Norges Bank announced the conclusion of the fifth phase of its investigation into digital central bank money (digitale sentralbankpenger or DSP). In a move that reverberated through the Nordic fintech and legal communities, the Monetary and Financial Stability Committee concluded that there is currently no basis to introduce a retail central bank digital currency (CBDC) in Norway. This decision was released in conjunction with "Strategy 28," the bank's strategic plan for 2026–2028, which outlines a shift in focus toward "preparedness," wholesale settlement innovation, and the modernization of existing payment rails via the European TARGET Instant Payment Settlement (TIPS) system.
The central bank’s verdict rests on a pragmatic assessment of the current Norwegian payment infrastructure, characterized by high efficiency, low social cost, and widespread digital adoption. However, the decision is not a termination of the DSP project but rather a strategic pivot. Norges Bank has explicitly adopted an "active dormancy" posture regarding retail issuance. This "preparedness" doctrine ensures that while the digital krone remains in the vault for now, the legal and technical machinery to mint it is being assembled, ready for a potential future where the need arises. Simultaneously, the bank is accelerating research into wholesale applications (DSP for settlement) and tokenized commercial bank deposits, notably in collaboration with DNB.
For the fintech sector, this development clarifies the immediate landscape. The pressure for CBDC-specific legislation has abated, replaced by the urgent necessity to implement the EU’s Markets in Crypto-Assets (MiCA) regulation. MiCA is set to fully integrate into Norwegian law through the new Crypto Asset Act (Kryptoeiendelsloven) by mid-2026. This implementation entails restructuring crypto-asset services and exploring tokenized commercial bank money. "Strategy 28" serves as the master plan, signaling a highly regulated, interconnected, and security-focused financial environment where innovation is welcomed—but strictly supervised.
Thus, Norges Bank’s decision is a pragmatic deferral, not a cancellation. By concluding that a retail CBDC is "not currently warranted," the bank has chosen to prioritize the modernization of existing rails (TIPS) and the regulation of private assets (MiCA) over the disruption of a state-run digital currency.
