Stockholm is a major hub for Fintech, attracting about one fifth of all European FinTech investments and can pride itself in being the home of successful FinTech companies such as Klarna and iZettle. In order to maintain its position as a European FinTech center, the Swedish Government has given the Financial Supervisory Authority an assignment to facilitate FinTech innovation. This has resulted in a FinTech Regulatory Sandbox where FinTech companies can bounce off their ideas and seek guidance directly with the regulators.
The Swedish Financial Supervisory Authority (Sw: Finansinspektionen) (the “FSA”) received an assignment from the Swedish National Innovation Council (the “Council”) in May 2017 to investigate how the FSA could handle questions and needs of financial businesses offering new and innovative services. The Council is tasked with advancing Sweden as a country of innovation and strengthening Sweden’s competitiveness. The Swedish Prime Minister Stefan Löfven chairs the Council, which consists of five ministers and ten advisory members from the business and research sectors.