Swedish banks face criticism for financing Arctic fossil projects
Nordea and SEB have provided sizable loans to fossil companies operating in the Arctic, prompting criticism from environmental advocates.
A recent report highlights that Nordea and SEB are the primary Swedish banks financing fossil companies with activities in the Arctic, with Nordea leading the loan volume. Environmental groups condemn the support, saying it hampers climate objectives and endangers fragile ecosystems and the rights of Sami communities dependent on reindeer herding and fishing. The report also notes that Handelsbanken and Swedbank have not extended any loans to Arctic fossil operators.
SEB responded by questioning the methodology of the assessment and emphasizing the strategic importance of these firms for Europe's energy independence. Nordea similarly pointed to a minimal exposure to oil and gas lending and cited a substantial reduction in its loan portfolio since 2019.
Why it matters
Bank financing of Arctic fossil extraction raises concerns about climate targets, indigenous rights and regional environmental protection.
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