The Vikings are coming - how Stockholm is an emerging capital of capital
By Anders Månsson, Senior Advisor at Ventures Accelerated
January 8, 2026
Surely the cry “The Vikings are coming” was once a warning that would send chills up the spines of the inhabitants of the British Isles. Today this warning could be issued again, albeit without any context of violence. Yet, there might be cause for concern in the financial district of London, for a recent article in The Economist portrays Stockholm, Sweden, as Europe’s emergent “capital of capital,” signaling a shift in the continental financial map as London’s post-Brexit role and the eurozone’s capital dynamics evolve.
The article argues that Stockholm’s appeal as a financial center stems not only from macroeconomic stability and a robust bond market, but also from a tightly woven ecosystem where capital, talent, and innovation co-locate within reachable distances. This confluence creates favorable conditions for rapid funding, experimentation, and the scaling of capital-intensive ventures across sectors like life sciences, technology, and sustainable industries. The report positions Stockholm within a broader European struggle to identify a viable successor or complement to London, noting that cities like Frankfurt, Paris, and Amsterdam each offer distinct advantages, while Stockholm’s unique blend of academic excellence, corporate dynamism, and social trust helps it punch above its weight in attractively orchestrating capital flows. The piece emphasizes that, for companies seeking fresh capital in Europe, Stockholm presents a compelling venue, one that aligns with Sweden’s long-standing model of innovation-led growth and well-functioning institutions.
A central argument touches on the structural features of Sweden’s market, features that favor sustained capital formation. First, the borrowing environment has been conducive to liquidity and investor confidence, with a portfolio of domestic and international buyers attracted to Swedish credits and growth stories. This is complemented by a healthy pool of local financial talent and advisory capacity, which lowers transaction costs and accelerates deal execution. Second, the Stockholm region benefits from a remarkable proximity economy: universities, research institutes, multinational firms, and start-ups reside in close quarters, enabling rapid collaboration, knowledge spillovers, and more efficient due diligence. This cluster effect helps sustain a steady pipeline of high-quality investment opportunities across multiple sectors.
The article also highlights a choose-your-own-adventure style of European market strategy. Stockholm’s strength lies not in copying a single model but in leveraging its own competitive advantages, namely stability, governance, and a culture of consensus, all conducive to creating a capital-friendly environment. In practice, this means streamlined regulatory processes for issuances, predictable policy signals, and a willingness to experiment with new financial instruments and partnerships that lower barriers to entry for international capital.
Stockholm’s potential rests on a diversified portfolio. Finance and fintech stand to gain from improved deal flow and cross-border collaboration, while life sciences and sustainability-focused technologies benefit from Sweden’s R&D intensity and supportive public frameworks. The city’s appeal also extends to tech and telecom, where scale-ups can access both capital and talent in a compact geography, enabling faster product development and market entry. It is suggested that this multi-industry resilience is a key hedge against sector-specific downturns and a driver of cyclical stability for the broader economy.
Yet, the publication’s analysis is not completely uncritical. It notes potential risks, including the dangers of overheating in asset markets, the need for continued policy support to maintain international confidence, and the importance of maintaining an open, competitive environment amid political cycles. There is also a reminder that ambition must be matched by infrastructure investments and targeted regulatory enhancements to sustain a steady flow of capital and prevent bottlenecks as the ecosystem scales.
Looking ahead, The Economist’s forecast leans toward a medium-term trajectory in which Stockholm solidifies its role as Europe’s capital of capital through ongoing collaboration with European financial centers, investment in human capital, and targeted macroprudential measures that balance growth with financial stability. The narrative suggests that Sweden’s model, combining innovation, inclusive governance, and global connectivity, could offer a blueprint for other mid-sized markets eager to punch above their weight in the continental capital markets. If these conditions hold, Stockholm may not only attract more capital but also shape the contours of Europe’s financial architecture in the years to come. Sweden will hold a parliamentary election in the autumn of 2026. This is internationally viewed as a significant indicator for all of Europe on whether it will turn further right-wing populist or not. My bet though, is that whatever Swedish government coalition is formed, it will stay centrist in its fundamental policies, and favor long-term stability, which is conducive to a sound business environment.
In short, the Vikings are indeed coming, but this time around they are more likely to bring peace, social trust, academic excellence, corporate dynamism, and the prosperity that is much more the archetypical Scandinavian trademark in today’s day and age. And the only thing at risk of being “stolen” is the historically unicentric role of London as the financial capital of Europe.
Ventures Accelerated stands ready to guide access to the increasingly attractive Scandinavian markets, and also to help native Scandinavian companies who, like the true Vikings of a thousand years ago, would venture across the seas…