Everything in Asia is big. Sixty percent of the world’s population lives here – the figure for Europe is just 10 percent. The continent accounts for 40 percent of the global economy, but a full 60 percent of global growth this year. While Europe and North America are struggling to avoid recession, many countries in Asia are seeing annual growth of more than five percent.  

 Sweden’s exports to Asia equalled SEK 234 billion in 2024, nearly matching exports to North and South America combined. The single largest market in Asia is China, followed by Japan and South Korea. However, declining birth rates and, in the long term, shrinking populations in these countries mean that future growth engines will be found in Southeast Asia.  

 “In 2025, the region’s economic center of gravity will continue to shift from Northeast Asia to Southeast Asia due to demographic changes,” said Frederic Neumann, Chief Asia Economist at HSBC, during a webinar in January.  

By 2030, two-thirds of the global middle class will live in Asia, which is home to 14 of the world’s 20 largest cities. Continued urban migration will mean 550 million more Asians living in cities by 2035. 

A growing urban middle class places higher demands on public transportation, cleaner air, healthcare, and infrastructure. Major investments are needed in the energy transition to counteract the climate change impacts that have hit South and Southeast Asia especially hard. All of this benefits Swedish companies, which are at the forefront in green energy, sustainable transport, and healthcare.  

Financing for expansion in Asia  

Swedish companies looking to strengthen their presence in Asia and capitalize on the region’s promising outlook can turn to SEK for support. 

“Swedish companies have much of what Asia needs – from power transmission and public transport to mining and medical technology. Attractive financing through the Swedish export credit system makes the offering even stronger. Swedish companies rarely compete on low prices, but rather with advanced technology and high quality – which translates into lower costs from a life-cycle perspective,” says Birgitta Lindström Kruk, Head of Export Finance at the Swedish Export Credit Corporation (SEK). 

SEK provides financing in over 60 countries, with half of its credit volume going toward financing Swedish exporters’ customers. Project financing, acquisitions, market entries, working capital, and invoice purchasing are other tools in SEK’s portfolio. When the export involves technology and services that support the energy transition or social benefits, even more favourable terms often apply.  

Being able to offer financing is often a prerequisite or even a requirement in procurement processes. 

“Financing goes hand in hand with the offer, and in many deals, the exporter is expected to have a financing solution in place,” Lindström Kruk continues. “A comprehensive package with 100 percent financing from SEK, EKN, and a commercial bank has helped many Swedish exporters close deals.” 

Companies looking to establish a presence in Asia through acquisitions or greenfield investments can also benefit from the Swedish export credit system – as can companies seeking working capital at home to boost their export efforts. Learn more about how SEK supports financing. 

Three high-growth markets: Vietnam, the Philippines, and Indonesia  

Vietnam, the Philippines, and Indonesia are especially attractive markets. Together, these countries are home to over 500 million people and boast growth rates that few others can match. The potential for Swedish companies to expand is substantial.  

 Each of these markets has its own strengths – from strategic locations and robust legal frameworks to favourable tax incentives and booming consumer demand. Digitalization and mobile connectivity are well established, and the populations are young and well-educated. Vietnam already has a free trade agreement with the EU, while Indonesia and the Philippines have launched negotiations.