News

Finns take go-slow approach to filling ATMs with euros

December 5, 2001

FINLAND -- Finland will become the first country in the world to introduce euro cash on Jan. 1, yet the Finns seem to be in no hurry to convert their markka, according to a BBC report.

As part of its conversion plan, the country's ATMs will only be refilled with euros as they empty of Finnish markka, and not before Jan. 1

"Many countries think it is a good thing to convert their ATMs very fast -- in one second at midnight," Rauno Niininäki, chief of the country's euro project at the Ministry of Finance, told the BBC. "This is a good intention, but in practice it will present some difficulties."

The country's public transport system will also hold off from forcing customers to pay in euros until enough of the new currency is in circulation, while many other euro countries intend to urge their commuters to pay in euros from day one. "We don't want to push people, we want them to continue their normal lives," Niininäki said.

Finland's chief concern is running out of cash, particularly as Finns depend on ATMs as their primary source for cash. Niininäki told the BBC that the country does not have the resources to switch over all its ATMs at midnight on Jan. 1, and so risks running out of cash if it does not phase in the conversion gradually.

"It may be a bit slower but it will be very safe," he said.

The country hopes to switch over 80 percent of its ATMs within the first week. Contrast that approach to Germany, Belgium and the Netherlands, which plan to convert 100 percent of their ATMs in the first week.

The cautious approach on ATMs is cushioned by the fact that Finnish shoppers are more accustomed than other Europeans to using credit or debit cards instead of cash. Many Finns merely dial a number in their mobile phones to pay for services at vendor machines.

The Ministry of Finance plans to encourage people to continue using plastic in order to ensure as smooth a transition as possible. "The more payments are carried out by bankcard, the easier the changeover will be," according to an official government guidance document.