Introduces FDI screening regime
01 Dec 2023
On 1 December 2023, the Swedish FDI screening regime (Lag om granskning av utländska direktinvesteringar) entered into force, introducing substantial changes to the regulatory framework governing foreign investments in Sweden. Foreign investors engaging in sensitive sectors are mandated to secure authorization from the reviewing authority before executing the investment. The authority holds the power to approve, conditionally approve, or prohibit the investment based on considerations related to public order or national security.
The Act covers various sectors including essential services, security-sensitive activities, exploration, extraction, enrichment, or sale of critical raw materials, metals, or minerals, the processing of sensitive personal data or location data, the processing of sensitive personal data or location data, research or the supply of products or technology relating to emerging technologies and other strategic protected technologies.
The review process consists of two phases. Within 25 working days of receiving a complete notification, the reviewing authority must decide either to dismiss the notification without action or to initiate an examination of the investment. The examination phase may be extended for up to 6 months under certain circumstances. At the request of the Review Authority, the investor and the involved company must provide the necessary information or documents for the review or to verify compliance with imposed conditions. Sanctions, including fines of up to SEK 100 million, may be imposed for violations, with provisions for appeal.
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Type:
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Entry and establishment (Approval and admission)
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Industry:
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Primary (Mining and quarrying)
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Services (Telecommunications, Computer programming, consultancy and related activities, Scientific research and development)
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Sources:
