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Loans in local currencies

Swedish companies with subsidiaries abroad can take out loans in the local currency to eliminate interest and currency risk. SEK offers financing in more currencies than most of its fellow market participants.

By borrowing in the local currency, currency risk can be reduced given that cash flows are matched between revenue and financial costs. It’s also possible to reduce the volatility of the outcomes resulting from revaluation of the loan at the end of the fiscal year, and reduce uncertainty of the size of future interest payments and repayments.

The loan can be provided in another currency than that specified in the contract of sale. If the price has been agreed in Swedish kronor but the borrower desires USD, the loan can be provided with the equivalent value in USD. This means that the exact loan amount in USD is established upon each disbursement, while the exporter receives their payment in Swedish kronor.

Facts and conditions

  • Take out a loan in the same currency as your revenue
  • Reduce currency risk in your subsidiaries
  • Fixed or variable interest rates depending on the currency
  • Lending period of up to 5 years
  • The local currency loan is aimed at exporters and their suppliers who have a turnover of at least Skr 200 million.

Would you like to know more?

Contact any of our knowledgeable colleagues and we will help you with any questions or concerns about this offer!