Swedish money wary of Russia investments

5:09 min

The impact on Swedish investors of the Ukraine crisis will be limited - because most companies took their money out of the Russian area around the 2008 Georgia crisis, says the chair of the Swedish Chamber of Commerce for Russia and the CIS.

Heinz Sjögren says many Swedish banks took billion-dollar losses in order to extricate themselves from eastern Europe.

But there may be a paradoxical benefit for the banks. As Russian investors seek to leave the country, despite Kremlin-imposed capital controls, one place the money is flowing to is Latvia. And the banking sector there is largely owned by Swedish and Danish banks.

Radio Sweden is currently trying to contact SwedBank in Latvia for a comment.

Loukas Christodoulou