Swedish Customs is concerned that many companies trading with the UK have not yet applied for the permits which may be required if the Brits leave the EU without a deal at the end of October.
Swedish companies trading with the UK but not with a third country could face more administration and higher costs and could need an Eori registration number.
“We are anxious for every company to carry out an analysis and go through their own supply chains to see what needs they have,” says Kristina Sejnehag, head of the Customs’ permit centre.
Describing the SEK 12 billion provision in the third quarter to settle investigations by the US Securities and Exchange Commission and the Department of Justice as a “terrible amount of money,” Ericsson CEO Börje Ekholm said on Thursday that the mobile telecom gears maker should have reacted faster to warning signals.
“Given the way we have conducted the business in the past, we have not had adequate controls to catch and follow up problems and ‘violations’ of our compliance with our policies. But I did not fully understand this when we hired an external company that went through our controls and concluded that we did not meet the requirements we had.”
The investigations, which cover a period ending with the first quarter of 2017 (ed.), have revealed breaches of Ericsson’s Code of Business Ethics and the US Foreign Corrupt Practices Act in China, Djibouti, Indonesia, Kuwait, Saudi Arabia and Vietnam.
The CEO is personally upset to find the company in this position but hopes to be able to “put this behind us and move forward”.
Sweden's export growth is likely to be 3.1 per cent, measured in volume, in 2019 and 1.8 per cent in 2020, forecasts Business Sweden.
This is lower than the historical average of 4 per cent during the period 2000-2018. In the March forecast, Sweden's exports were predicted to grow by 3.0 per cent in 2019 and by 3.4 per cent in 2020.
The world economy has entered a slowdown, with expected GDP growth of around 3 per cent in 2019 and 2020. “The escalated trade conflict between the US and China, which has reached a level that makes it a threat to the material flow in the manufacturing industry, is a major contributory factor to the sharp slowdown in the world economy,” says Lena Sellgren, chief economist at Business Sweden.
President Jair Bolsonaro has cut Brazil’s defence budget for 2020 by 35 per cent, the reason being the country’s ailing finances.
The JAS Gripen project’s budget has been cut from SEK 2.5 to SEK 1.5 billion but Defence Minister Fernando Azevedo, who visited Saab in Linköping recently, hopes additional funds will be released next year. However, the Brazilian Air Force does not rule out the possibility that it may have to enter into new negotiations with Saab, according to Brazil’s largest daily newspaper, Folha de S Paulo.
Saab, on the other hand, denies that the budget cut will have any consequences for the production of the aircraft.
“The programme continues according to plan and we have no information about anything else,” says Johan Öberg, at Saab's press department.
Thomas Cook Northern Europe AB’s 2018 annual report shows that the Nordic subsidiary, dubbed TCNE, which operators Ving, Spies and Tjäreborg, has a guarantee obligation to the failed Thomas Cook Group, reports Dagens Industri this morning.
TCNE press officer Fredrik Henriksson is unable to say whether creditors will have a claim to a share of the Nordic subsidiary’s profits. In the meantime, TCNE has decided to stop customers paying for their holidays on the company’s booking sites until it “has full control of the situation”.
The focus now is to bring home stranded holiday makers and to get the business up and running again as soon as possible.
Ving has said it will resume flights today, Tuesday.
Britain’s Thomas Cook, which owns the Nordic Ving group, has collapsed after last-minute negotiations aimed at saving the holiday company failed.
The Ving group is made up Ving, Spies, Tjäreborg and Globetrotter and all Ving group flights from the Nordic region have been cancelled until further notice. Some 17,000 Swedish holidaymakers will need to be brought home and Ving urges all those affected to access the Ving website for further information.
The British tour operator’s failure puts 22,000 jobs at risk worldwide.
DI has been reporting this week on the Swedish National Debt Office (Riksgälden) and that director general Hans Lindblad has been under fire for decisions in conflict with advice from the agency’s experts.
Last week, the Ministry of Finance summoned Hans Lindblad and the meeting has now taken place.
“The government takes the situation seriously and today I met the director of Riksgälden for more information about the situation that has arisen,” says Ulf Holm, state secretary for Finance Minister Per Bolund (Green) to DI.
As a result of DI’s reports, Riksgälden has taken two initiatives. Firstly, to bring forward an employee survey and secondly, to implement an external review of “leadership in various decision and preparatory processes”.
When asked by DI, Per Bolund’s press secretary Frida Färlin says, “The government still has confidence in the director general of Riksgälden.”
Departing head of the Financial Supervisory Authority (FI), Martin Noréus, did not submit a conflict of interest report to the watchdog, despite having negotiated a top job at Handelsbanken (SHB).
As head of the bank area, he has had responsibility for all investigations into banks, including two ongoing investigations into Handelsbanken. FI has not said whether it intends to investigate.
Financial Markets Minister Per Bolund (Green) did not seem concerned when speaking to DI: “It is in a way good that the banks build up a capacity when it comes to regulations and are able to fulfil all the requirements we set.” However, SvD reports that he says the situation is not completely without problem. “There need to be processes… Factors such as the risk of conflict of interest and possible financial gain need to be given attention.”
In a statement to the supervisory authorities in Sweden and Estonia Swedbank has confirmed that there have been – and are – failings with its anti-money laundering efforts. One of the reasons is that the bank has not had sufficient resources or skills to handle the risk of customers laundering money.
The bank has also decided to ease legal confidentiality that has prevented the Swedish Economic Crime Authority from questioning Erling Grimstad, who was brought in before the scandal to review suspected money laundering in the bank’s Baltic operations. The bank has so far not permitted Grimstad to be interviewed.
Thomas Langrot, the prosecutor pursuing the investigation, has welcomed the decision.
After ten years at the Riksbank and the Ministry of Finance, professor Karolina Ekholm has returned to Stockholm University. Few other Swedes have had such insight into the central decisions around the economy.
There has been a shift within economics since the financial crisis, the Euro crisis and then a long recovery with low inflation. Talking to Dagens Nyheter, she says the shift also concerns the division of responsibility between central banks and Finance Ministries. Governor of the Riksbank Stefan Ingves usually says the Riksbank still has muscles to stimulate the economy, if necessary. However, she is doubtful: “I don’t think the Riksbank can stimulate the Swedish economy much more.”
Expectations ought to turn to Finance Ministries where borrowing to stimulate is on the cards. “There is new research that shows fiscal policy is particularly potent during a recession, and ideas that say that it is particularly powerful when the repo rate is at its lower threshold.”
We are a small, but qualified team of graduates in politics, economics, English and classics dedicated to providing quality news digests in English that offer readers a first-hand look at the most important topics covered by the Swedish press. Here you will find a selection of the articles that are published in our Swedish Press Review.