Sweden to present law on blocking risky foreign investments

SWEDEN’S majority government said on Thursday (May 11) it will submit a Bill next week to parliament on allowing scrutiny of foreign direct investments in Swedish companies, and block those that pose a risk to national security.

“The majority of EU member states already have national review systems in place,” Prime Minister Ulf Kristersson said in a statement. “It is important that we get this in place in Sweden as well.”

The government said in March it aimed to present legislation this year.

The prime minister did not name any particular countries that could pose a security risks.

Western nations, worried by a flow of sensitive technological know-how to China, have increasingly sought to prevent Chinese companies from making certain acquisitions.

The Swedish government aims for the legislation to take effect on Dec 1 this year. REUTERS