Swedish Firms Seek Clear Rules, Sustainability in PHL Investment

Swedish companies operating in the Philippines want clearer regulations, including those that align with sustainability best practices, as key to maintaining investor confidence, according to the Embassy of Sweden in Manila. “Just from the perspective of Swedish firms, the important thing that they will be looking at are transparent rules that are justly implemented, (and adherence to the) rule of law,” Karolina Zurek, first secretary for Trade and Development at the Embassy of Sweden in Manila, told reporters last week. Philippine companies must also focus on adhering to sustainability standards, with the government’s role critical in its enforcement, as these have become a key factor in Swedish firms’ investment decisions, she said. “As European companies, Swedish firms need to have an ambitious agenda when working with their value chain, so they will also look at what are the environmental and social standards in the Philippines in order to be able to (feel confident in) putting up businesses here,” Ms. Zurek noted. A recent report by the Embassy and Business Sweden gave the Philippines a score of 3.1 out of 5 in its 2026 Business Climate Survey. According to the survey results that were released in June, Swedish companies that rated the Philippines’ business climate as “very good/good” slumped to 31% this year from 41% in 2025, as business sentiment was marked by “heightened caution.” It noted that the flood control scandal involving government officials and infrastructure contractors weakened overall business sentiment. Swedish firms reported exposure to corruption in public bodies (26%), private counterparts (16%), and internal counterparts (5%), it said. Swedish exports to the Philippines were valued at $192.13 million in 2025, while Philippine exports to Sweden stood at $64 million, according to the United Nations Commodity Trade Statistics Database. — Beatriz Marie D. Cruz