EN 
 
 
OPINION OF THE EUROPEAN CENTRAL BANK 
of 17 May 2004  
at the request of Sveriges Riksbank on two draft laws on certain old banknotes and coins  
ceasing to be legal tender 
(CON/2004/17) 
 
1. On 5 April 2004, the European Central Bank (ECB) received a request from Sveriges Riksbank for 
an opinion on a proposal from Sveriges Riksbank to Sveriges riksdag  (Swedish Parliament) to 
adopt two draft laws on certain old banknotes and co ins ceasing to be legal tender (hereinafter the 
‘draft laws’).  
2. The ECB’s competence to deliver an opinion is based on the second and third indents of 
Article 2(1) of Council Decision 98/415/EC of 29 June 1998 on the consultation of the European 
Central Bank by national authorities re garding draft legislative provisions1 as the draft laws contain 
provisions concerning means of payment and the Swedish national central bank. In accordance with the first sentence of Article 17.5 of the Rul es of Procedure of the European Central Bank, the 
Governing Council has adopted this opinion. 
3. In the explanatory memorandum to the draft laws, Sveriges Riksbank proposes that certain old 
banknotes and coins should cease to be legal tender on 31 December 2005. According to 
Section 14 of Chapter 9 of regeringsformen  (Swedish Constitution Act), Sveriges Riksbank has the 
exclusive right to issue banknotes and coins. Section 1 of Chapter 5 of lagen (1988:1385) om 
Sveriges riksbank  (Sveriges Riksbank Act) states that banknotes and coins issued by Sveriges 
Riksbank are legal tender. Genera l rules concerning the monetary and payment system, such as 
decisions that certain Swedish banknotes and co ins should cease to be legal tender, are however 
laid down by statute enacted by Sveriges riksdag .  
4. In view of the above, Sveriges Riksbank has prepared two draft laws for adoption by Sveriges 
riksdag as follows: (i) Förslag till lag om vissa äldre sedlars upphörande som lagliga 
betalningsmedel  (the draft law on certain old banknotes c easing to be legal tender) (hereinafter the 
‘draft law on old banknotes’); and (ii) Förslag till lag om äldre femtiöresmynts upphörande som 
lagligt betalningsmedel (the draft law on the old 50-öre coin ceasing to be legal tender) (hereinafter 
the ‘draft law on the old 50-öre coin’). Under th e draft law on old banknotes, old versions of 
                                                 
1  OJ L 189, 3.7.1998, p. 42. 
 
2 Swedish banknotes denominated SEK 20, 100 and 500, respectively, shall cease to be legal tender 
on 31 December 2005. Under the draft law on the old 50-öre coin, the old silver-coloured 50-öre coin shall also cease to be legal tender on 31 Dece mber 2005. It is proposed that the draft laws 
should enter into force on 1 January 2005, i.e. one year before the affected banknotes and coins 
cease to be legal tender. 
5. The explanatory memorandum to the draft laws sets out, inter alia , the reasons why the affected 
banknotes and coins can cease to be legal tender desp ite relatively short notice being given. The 
main reason for this is Sveriges Riksbank’s ge nerous practice of rede eming old banknotes and 
coins for a considerable period after they cease to be legal tender.  
6. The ECB has considered the issue of timing a nd agrees with Sveriges Riksbank’s assessment that 
the proposed interval between the date when the draft laws enter in to force and the date when the 
affected banknotes and coins cease to be legal te nder should be sufficient. The ECB has no other 
comments on the draft laws. 
7. The ECB confirms that it has no objection to the competent national authorities making this 
opinion publicly available at their discretion. Th is opinion will be published on the ECB’s website 
six months after the date of its adoption. 
  Done at Frankfurt am Main, 17 May 2004.  
 
[signed] 
 
The President of the ECB 
Jean-Claude TRICHET