Iceland joins the ECB’s instant payment system

Brussels – Iceland joins the eurozone’s instant payment system. The European Central Bank and the Central Bank of Iceland (Seðlabanki Íslands) have signed an agreement allowing for ECB payments to be settled instantly in Icelandic króna from 2028. Under this agreement, the Icelandic króna will become the fifth currency available for the instant settlement of retail payments using the Eurosystem’s TIPS services. The euro, the Swedish króna and the Danish króna are already available for settling payments in TIPS, while the Norwegian króna is expected to join in 2028. The move seems to confirm Reykjavik’s renewed shift toward the EU, whose single currency is the euro

 “We are delighted that more and more European countries, including from outside the European Union, are joining the Eurosystem’s TARGET Services,” said ECB President Christine Lagarde. “This reinforces the integration of Europe’s financial infrastructures, supports its strategic autonomy, brings economies of scale and strengthens economic relations.”