The ECB and Sedlabanki Islands signed an agreement on June 24 for the Icelandic krona to join TIPS. ISK settlement is planned from 2028. The krona will become the fifth currency on the platform alongside the euro, Swedish krona, Danish krone, and Norwegian krone.
Iceland is not an EU member state but participates in European financial infrastructure through the EEA agreement. Sedlabanki Governor Asgeir Jonsson said joining TIPS will strengthen both security and efficiency of instant payments in Iceland. The decision follows a September 2024 expression of interest by Sedlabanki, which initially assessed feasibility for both TIPS and T2.
Norway's Norges Bank signed its own TIPS agreement in November 2024 for NOK settlement from the first half of 2028. Both NOK and ISK are expected to go live in the same year, expanding TIPS from three to five currencies.