Sweden to double India investment, job generation in next five years

With the Free Trade Agreement between India and the European Union likely to be concluded soon, Sweden aims to double the investment and employment generation in India over the next five years, asserted Jan Thesleff, Ambassador of Sweden to India on Tuesday. As EU delegates visit India for the 13th round of FTA negotiations, Sweden banks on India for better market access and business expansion.

“We will start an offering of our trade over the coming five years. With an FTA in place within reach, we can reach that level. We can double our investments in India. We can double the number of people employed in Swedish businesses and in India,” said Thesleff.

According to Swedish Embassy numbers, over 280 Swedish companies currently operate in India and employ over 220,000 people directly in India, with an additional 2.2 million people indirectly employed. On the other hand, Sweden has also proved to be an attractive destination for Indian investments, with over 70 Indian companies now operating there.
As India progresses its FTA negotiations with the European Union, Sweden expects to have a better trade relation with India. The trade between these countries has gone up by nearly three times between 2016 and 2024. As per the data revealed by the embassy of Sweden, it has gone up from $2.86 billion in 2016 to $6.96 billion in 2024.

“In the Global Business Climate Survey that we run globally every year, India consistently ranks among the top three promising markets for Swedish companies. Seventy-seven percent of Swedish companies in India rate the current business climate as good or very good,” said Sofia Högman, Trade Commissioner of Sweden to India.

As Swedish brands like IKEA, H&M, Ericsson continue to tap the Indian retail market, several Swedish companies will also try to get onto a deal with several small and medium enterprises in India, assured the Swedish delegates. Because, according to Hogman, “Despite the uncertainty in today’s global geopolitical climate, India stands out as a global growth market.”