The Nordic Passport Union, created in 1954, and implemented on May 1, 1958, allows citizens of the Nordic countries: Denmark (Faroe Islands included since January 1, 1966, Greenland not included), Sweden, Norway (Svalbard, Jan Mayen, Bouvet Island and Queen Maud's Land not included), Finland and Iceland (since September 24, 1965) to cross approved border districts without carrying and having their passport checked. Other citizens can also travel between the Nordic countries' borders without having their passport checked, but still have to carry some sort of approved travel identification documents.
Since 1996, these countries have been part of the larger EU directive Schengen Agreement area, comprising 30 countries in Europe. Border checkpoints have been removed within the Schengen zone and only a national ID card is required. Within the Nordic area any means of proving one's identity, e.g. a driving licence, is valid for Nordic citizens, because of the Nordic Passport Union.
Since March 25, 2001, the Schengen acquis has fully applied to the five countries of the Nordic Passport Union (except for the Faroe Islands). There are some areas in the Nordic Passport Union that give extra rights for Nordic citizens, not covered by Schengen, such as less paperwork if moving to a different Nordic country, and fewer requirements for naturalisation.
Read more about this topic: Nordic Countries
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