Eight in ten Swedes feel effects of crisis

Nearly 80 percent of Swedish households say they are feeling the effects of the current financial crisis, according to a study by Swedish life insurance company SEB Trygg Liv.

Eight in ten Swedes feel effects of crisis

However, only one in ten respondents to the poll felt that they had been affected to a large or very large degree, while about 70 percent said the effects so far had been moderate or somewhat large, reports the Dagens Nyheter (DN) newspaper.

The study also shows that nearly one in three Swedes plan on delaying major purchases like cars and expensive home electronics, while 22 percent expect to reduce daily expenditures on things like food and other living expenses.

“There appears to be a wise view about all of this. Most see themselves as being affected by the turbulence, but don’t see it as constituting a catastrophe,” said Jens Magnusson, a welfare economist with SEB, to DN.

Two thirds of the survey’s respondents also believed that the current downturn in financial markets would affect the level of their pensions in the future, while a large majority of the respondents who have already retired didn’t believe the crisis would affect them a great deal.

“There’s a chance that has to do with a misunderstanding. That they are not aware that the level of public pensions is tied to the economic growth in the country even after they’ve retired,” said Magnusson.

Ten percent of of those polled said they planned to decrease the amount of money they saved each month, while 12 percent indicated they planned to increase their savings rate as a result of the financial crisis.

And 15 percent said they planned to reduce expenditures on travel.

The poll consisted of telephone interviews with 1,000 Swedes carried out by the Demoskop polling firm.


Police to investigate Nordea bank over money laundering

Danish police will investigate the Swedish bank Nordea after a year-long probe by regulators into money laundering led to "criticism" of its procedures, the bank said Friday.

Police to investigate Nordea bank over money laundering
Photo: Marcus Ericsson / TT

Detectives will examine how money laundering rules were followed at the bank's Danish subsidiary and could result in “sanctions”, Nordea said in a statement.

“We realize that we initially underestimated the complexity and the time it takes to change our procedures,” said Nordea chief executive Casper von Koskull.

The bank added that 850 Nordea employees are currently involved in the fight against money laundering which the bank plans to increase to 1,150 by the end of the year.

In May 2015 the bank was fined 50 million kronor (€5.4 million euros) – the maximum possible – by Swedish regulators who accused Nordea of “not following money laundering rules for several years” and failing to “evaluate the risks of (doing business with) certain clients”.