Everything You Need to Know About the Norwegian Krone

Norway’s currency is the Norwegian krone, but understanding how it works goes far beyond exchange rates. From its history to how people actually pay for things today, here’s what you need to know about money in Norway.

When people think about money in Norway, the high cost of living is usually the first thing that comes to mind. That reputation is well earned.

But understanding the Norwegian krone, how prices are displayed, and how payments are made can help visitors and newcomers avoid confusion and unnecessary expense.

Norway may be expensive, but it is also one of the most digitally advanced economies in the world, and the way money is used reflects that.

Norway Does Not Use the Euro

Across Europe, the number of national currencies fell sharply when the euro was introduced as physical cash in 2002. Today, the euro is the official currency of 20 of the 27 EU member states.

Norway is not a member of the European Union. Instead, it participates in the EU’s internal market through the European Economic Area, alongside Iceland and Liechtenstein. Because of this arrangement, Norway has retained full control over its own currency.

That currency is the Norwegian kroneoften abbreviated as NOK. Like its Scandinavian neighbours, Norway uses a currency whose name literally translates as “crown”.

A Brief History of the Norwegian Krone

The Norwegian krone was introduced in 1875, when Norway joined the Scandinavian Monetary Union. It replaced the special valleysa currency that had been used since 1816.

The monetary union linked Norway, Sweden, and Denmark through a gold standard, with compatible currencies. When the union dissolved during the First World War in 1914, all three countries chose to keep their respective “crowns”.

That is why Norway, Sweden, and Denmark still use similarly named but separate currencies today.

Over time, Norway’s coinage evolved as inflation and changing payment habits made small denominations impractical. Øre coins were gradually phased out, with the final 50-øre coin withdrawn from circulation in 2012.

Current Denominations and How Prices Work

The Norwegian krone is divided into 100 øre, but the øre no longer exists as a physical unit. Today, it is used only electronically.

This often confuses visitors. Prices are still displayed with øre in shops and supermarkets, but cash transactions are rounded to the nearest whole krone. Card payments, however, are charged to the exact amount.

For example, a price of NOK 9.50 will be charged as 9.50 if you pay by card. If you pay with cash, you will pay either 9 or 10 kroner depending on rounding rules, with no physical change given.

Coins in circulation: NOK 1, 5, 10, 20
Banknotes in circulation: NOK 50, 100, 200, 500, 1,000

The Norwegian Krone and Exchange Rates

One aspect of the Norwegian krone that often surprises visitors is how much its value can fluctuate against other major currencies.

In recent years, the krone has frequently been weaker than the euro, US dollar, and British pound, sometimes making Norway feel noticeably cheaper for foreign visitors than its reputation suggests.

These fluctuations are driven by several factors, including global oil and gas prices, interest rate differences, and Norway’s relatively small currency market.

Importantly, prices inside Norway do not adjust quickly in response to exchange rate changes. A weaker krone may improve value for visitors, but it does not mean domestic prices fall overnight.

For travellers, the key takeaway is simple: exchange rates can have a meaningful impact on how expensive Norway feels from one year to the next, even though the underlying cost structure remains largely the same.

Transferring Money To and From Norway

If you’re moving money between Norway and another country, exchange rates and bank fees can make a bigger difference than many people expect. Traditional banks often add hidden margins to exchange rates or charge high international transfer fees.

For many international residents and travellers, services such as Currency Fair offer a simpler alternative. Currency Fair shows fees upfront, making it easier to see exactly how much money will arrive at the other end.

Currency Fair is commonly used by people living in Norway to transfer salaries, savings, or pension payments, as well as by visitors managing larger expenses such as accommodation deposits or long stays.

While it won’t change Norway’s high prices, it can help avoid unnecessary losses when moving money across borders.

Norway’s Modern Banknotes

Norway’s current series of banknotes was introduced between 2017 and 2019 by Norges Bank, and they are among the most distinctive in the world.

Rather than portraits of kings or politicians, the notes celebrate Norway’s long relationship with the sea. Each denomination represents a different aspect of that connection:

• The 50 kroner note features Ulvær Lighthouse, symbolizing the sea that binds the country together.
• The 100 kroner note shows the Gokstad ship, representing the sea that carried Norwegians out into the world.
• The 200 kroner note features cod, reflecting the sea that has fed the nation for centuries.
• The 500 kroner note depicts a rescue vessel, symbolizing the sea that has brought prosperity, including modern oil and gas wealth.
• The 1,000 kroner note shows a powerful wave, representing the sea that carries Norway forward.

The reverse side of each note uses a pixelated, abstract version of the same theme, a deliberately bold design choice reflecting a future-focused approach at a time when physical cash is becoming less common.

Paying for Things in Norway Today

Norway is often described as a “cashless society”, but the reality is more nuanced.

Most people rarely use cash, and many businesses do not actively encourage it, but cash is still legal tender and widely accepted in practice. That said, visitors should expect card payments to be the default almost everywhere.

Debit and credit cards are accepted in shops, cafés, taxis, accommodation, and even many rural businesses. Contactless payments are ubiquitous, and terminals support international cards as standard.

Contactless Payments and Apple Pay

Mobile wallets such as Apple Pay and Google Pay are widely accepted wherever contactless card payments are available. For most visitors, Apple Pay works exactly as it does at home and can be used confidently for everyday purchases.

Norway’s domestic mobile payment app, Vipps, dominates person-to-person payments and small transactions. Residents use it for everything from splitting restaurant bills to paying at school events and flea markets.

However, Vipps generally requires a Norwegian bank account and phone number, so it is not always accessible to short-term visitors.

For travellers, this simply means that while locals may ask “Can you Vipps me?”, cards and contactless payments remain fully sufficient.

Withdrawing Cash and Using ATMs in Norway

Although cash use is declining, ATMs remain available in cities, towns, and transport hubs. In rural areas, however, they can be sparse, and some villages may have no ATM at all.

Norwegian ATMs typically do not charge local withdrawal fees, but your home bank may apply its own charges or exchange margins. Currency exchange offices are relatively rare in Norway and usually offer poor rates compared with card payments or ATM withdrawals.

For most visitors, withdrawing small amounts of cash is straightforward but rarely necessary. Many travelers complete entire trips without handling physical money at all.

Paying for Transport, Parking, and Public Services

Public transport in Norway is overwhelmingly app-based. Buses, trams, ferries, and trains typically do not accept cash, and tickets are purchased using card payments, mobile apps, or in advance using ticket machines.

In some regions, buses still accept cash. It’s well worth checking this in advance, as policies do vary.

The same applies to parking. In cities and tourist areas, parking is usually managed via apps or card-only machines, with little or no option to pay in cash.

This digital-first approach is efficient, but it can surprise travelers from countries where cash is still commonly used for everyday services.

Online Banking and Digital Infrastructure

Norwegian banks offer highly developed online and mobile banking platforms. Bills are paid digitally, subscriptions are automated, and authentication typically uses national digital ID systems such as BankID.

This digital infrastructure is one of the main reasons cash usage has declined so sharply. For many residents, handling physical money has become unusual rather than normal.

The Future of Money in Norway

Norway is moving steadily towards a more digital financial system, but claims that cash will disappear entirely are often overstated.

While political discussions have taken place about reducing reliance on cash, Norwegian authorities have also emphasized the importance of keeping cash available for resilience, inclusion, and emergency preparedness. In recent years, regulations have been strengthened to ensure that certain businesses continue to accept cash.

Norges Bank has also explored the idea of ​​a central bank digital currency, sometimes referred to as a digital krone. These discussions remain exploratory rather than a concrete plan to replace existing money.

For most people, the likely future is one where cash exists as a backup, while digital payments dominate everyday life.

What This Means for Visitors

Understanding the Norwegian krone is less about memorizing denominations and more about understanding habits.

Prices are high, payments are digital, and systems are efficient. Bring a card, expect to use it everywhere, and don’t worry too much about carrying cash unless you have a specific reason to do so.

Once you adapt to how money works in Norway, managing everyday expenses becomes straightforward, predictable, and often refreshingly friction-free.