Sweden often tops the global charts for innovation, safety, quality of life, and social trust. But what happens when you move beyond the headlines and see the country not just as a visitor, but as someone working to connect it with the rest of the world?
We sat down with Amandine Pekel, a Belgian native and the Trade & Investment Counsellor for Sweden and Denmark at Wallonia Export & Investment Agency, to hear her honest take on what works in Sweden—and where the cracks start to show.
Having lived in Stockholm for seven years, Amandine brings a rare perspective: one foot inside the Swedish system, the other firmly grounded in international business. From navigating integration challenges to dissecting regional innovation ecosystems, this conversation offers a candid look at Sweden’s strengths, struggles, and place within the broader Nordic and European landscape.
The following words are by Amandine Pekel.
When looking at global rankings, Sweden often emerges at the top. It consistently performs well in areas like innovation, quality of life, safety, and social services. However, as someone who closely analyzes systems, my role is to look at the cracks and identify areas where improvements or investments can be made. While there’s much that works well in Sweden, there are also areas that need attention.
When I moved here seven years ago, I had high expectations. Sweden, after all, often ranks among the top 10 globally for various metrics. Its levels of international exposure, travel, and language proficiency are impressive, almost to the point where Swedish news seems to cover more international events than local ones. And then, of course, there’s the general trust between the government and its people, which reduces the need for excessive regulation and makes things run much more smoothly.
However, one of the country’s biggest challenges lies in the integration of newcomers. It’s incredibly difficult to settle here, even for highly educated individuals. Finding a job is tough, and the housing market adds another layer of complexity. Even when you manage to secure a place to live, tenant association rules often mean you're required to move every couple of years. So, living in Sweden as a foreigner requires a significant amount of personal commitment—and a bit of luck.
From a business perspective, Sweden remains the leading country in the Nordic region. This is largely due to scale. Sweden has a larger population, more capital, and a greater number of large enterprises compared to its Nordic neighbours. In addition, innovation ecosystems have been well established in several cities outside of Stockholm, such as Malmö, Gothenburg, Lund, Linköping, Norrköping, and even further north in places like Umeå and Luleå. These ecosystems provide valuable support for businesses looking to expand or scale up.
When it comes to how people outside the Nordic region view these countries, it’s common for them to treat the Nordics as one unified market, with Finland included as part of Scandinavia in their eyes. As they begin to see the nuances of each country, many companies look to Sweden, plus one more country, as the entry point, before branching out into the broader Nordic region.
Over the past several years, the atmosphere in Sweden has changed. Initially, there was a lot of optimism around large decarbonization projects that were expected to have a global impact. But that optimism has somewhat faded. Sweden now recognizes that it cannot drive the “green transition” on its own, and progress has slowed significantly. For instance, when Wallonia, Belgium, was selecting locations for its green-tech hubs, Copenhagen was chosen over Stockholm.
Alongside this shift, the dynamic around Sweden’s tech scene has also cooled. What once felt like a vibrant, American-inspired “sky’s the limit” environment has gradually given way to a more European, reality-based, maybe even Swedish “lagom” approach over the last five years.
Looking ahead, the geopolitical landscape presents a host of challenges. However, there are still plenty of opportunities for growth in certain niches, such as defense, smart grids, space, and Advanced Therapy Medical Products (ATMPs). I believe Swedish and Nordic companies in general would benefit from looking beyond their immediate neighbours when seeking new partners.
Europe, as a whole, needs to come together more cohesively. Rather than always collaborating with the usual suspects, we should leverage the existing capabilities across European countries to accelerate innovation. Take Wallonia, for example, which is ranked number one in life sciences R&D per capita. We’re home to many world-leading pharmaceutical companies that work closely with innovation clusters, research labs, and universities. There’s significant potential for Nordic scale-ups to tap into these resources and benefit from cross-border collaborations. I truly believe there is an untapped wealth of opportunities here.
All in all when push comes to shove, Stockholm still comes out as the “Capital of Scandinavia” (and as you know, foreigners include Finland in Scandinavia ϑ) due to the size of the economy and it being “where you meet the right people”, independently if you ask a company or a scientist. Copenhagen does have the best airport, though!
Sweden may no longer carry the same sense of unstoppable momentum it did a decade ago, but its influence remains undeniable. It’s still where deals are made, connections are formed, and ideas scale. And while cities like Copenhagen may lead in infrastructure or emerging sectors, Stockholm continues to hold its unofficial title as the “Capital of Scandinavia”—if for no other reason than it’s where things happen.
However, perhaps the real takeaway from Amandine’s perspective is this: Nordic strength lies in collaboration, but European progress depends on looking further afield. Suppose we want to accelerate innovation, drive growth, and tackle complex challenges like the green transition. In that case, we’ll need to embrace new partnerships, unexpected alliances, and untapped potential—from Wallonia to the Nordics and beyond.