Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2020shares | |
Document and Entity Information | |
Entity Registrant Name | SWEDISH EXPORT CREDIT CORP /SWED/ |
Entity Central Index Key | 0000352960 |
Entity Filer Category | Non-accelerated Filer |
Entity Well-known Seasoned Issuer | Yes |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Amendment Flag | false |
Document Type | 20-F |
Document Period End Date | Dec. 31, 2020 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | FY |
Entity Common Stock, Shares Outstanding | 3,990,000 |
Entity Interactive Data Current | Yes |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - SEK (kr) kr in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Consolidated Statement of Comprehensive Income | ||||
Interest income calculated using effective interest method | [1] | kr 4,960 | kr 5,703 | kr 4,866 |
Other interest income | [1] | (852) | 654 | 500 |
Interest expenses | [1] | (2,162) | (4,640) | (3,924) |
Net interest income | 1,946 | 1,717 | 1,442 | |
Net fee and commission expense | (42) | (33) | (32) | |
Net results of financial transactions | 83 | 226 | 19 | |
Other operating income | (2) | |||
Total operating income | 1,987 | 1,910 | 1,427 | |
Personnel expenses | (347) | (333) | (311) | |
Other administrative expenses | (198) | (206) | (231) | |
Depreciation and impairment of non-financial assets | (51) | (57) | (40) | |
Total operating expenses | (596) | (596) | (582) | |
Operating profit before credit losses | 1,391 | 1,314 | 845 | |
Net credit losses | (153) | (10) | 7 | |
Operating profit | 1,238 | 1,304 | 852 | |
Tax expenses | (270) | (277) | (204) | |
Net profit | 968 | 1,027 | 648 | |
Items to be reclassified to profit or loss | ||||
Derivatives in cash-flow hedges | (8) | (25) | ||
Tax on items to be reclassified to profit or loss | 2 | 6 | ||
Net items to be reclassified to profit or loss | (6) | (19) | ||
Items not to be reclassified to profit or loss | ||||
Own credit risk | 18 | 24 | 374 | |
Revaluation of defined benefit plans | 1 | (4) | (48) | |
Tax on items not to be reclassified to profit or loss | (5) | (4) | (72) | |
Net items not to be reclassified to profit or loss | 14 | 16 | 254 | |
Total other comprehensive income | 14 | 10 | 235 | |
Total comprehensive income | [2] | kr 982 | kr 1,037 | kr 883 |
Basic earnings per share (in SEK per share) | [3] | kr 243 | kr 257 | kr 162 |
Diluted earnings per share (in SEK per share) | [3] | kr 243 | kr 257 | kr 162 |
[1] | Since Q4 2020, SEK has changed the accounting principle regarding the CIRR-system. The comparative figures have been adjusted, see Note 1. | |||
[2] | The entire profit is attributable to the shareholder of the Parent Company. | |||
[3] | The average number of shares in 2020 amounted to 3,990,000 (2019: 3,990,000) |
Consolidated Statement of Com_2
Consolidated Statement of Comprehensive Income (Parenthetical) - shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Consolidated Statement of Comprehensive Income | ||
Weighted average number of shares (in shares) | 3,990,000 | 3,990,000 |
Consolidated Statement of Finan
Consolidated Statement of Financial Position - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Assets | |||
Cash and cash equivalents | [1] | kr 3,362 | kr 1,362 |
Treasuries/government bonds | 22,266 | 8,344 | |
Other interest-bearing securities except loans | 33,551 | 53,906 | |
Loans in the form of interest-bearing securities | 50,780 | 43,627 | |
Loans to credit institutions | 31,315 | 27,010 | |
Loans to the public | 171,562 | 163,848 | |
Derivatives | 7,563 | 6,968 | |
Tangible and intangible assets | 145 | 134 | |
Deferred tax assets | 15 | 16 | |
Other assets | 12,853 | 9,334 | |
Prepaid expenses and accrued revenues | 1,987 | 2,747 | |
Total assets | 335,399 | 317,296 | |
Liabilities and equity | |||
Borrowing from credit institutions | 3,486 | 3,678 | |
Borrowing from the public | 10,000 | ||
Debt securities issued | 273,976 | 269,339 | |
Derivatives | 25,395 | 20,056 | |
Other liabilities | 455 | 2,466 | |
Accrued expenses and prepaid revenues | 1,924 | 2,582 | |
Provisions | 99 | 93 | |
Total liabilities | 315,335 | 298,214 | |
Share capital | 3,990 | 3,990 | |
Reserves | (129) | (143) | |
Retained earnings | 16,203 | 15,235 | |
Total equity | [2],[3] | 20,064 | 19,082 |
Total liabilities and equity | kr 335,399 | kr 317,296 | |
[1] | Cash and cash equivalents include, in this context, cash at banks that can be immediately converted into cash and short-term deposits for which the time to maturity does not exceed three months from trade date. See note 11. | ||
[2] | See note 22. | ||
[3] | The entire equity is attributable to the shareholder of the Parent Company. |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - SEK (kr) kr in Millions | Share capital | Hedge reserve | Fair value reserve | Own credit risk | Defined benefit plans | Retained earnings | Total | ||
Effects of the implementation of IFRS 9 | [1] | kr (9) | kr (409) | kr 432 | kr 14 | ||||
Adjusted opening balance of equity | kr 3,990 | kr 25 | (409) | kr (4) | 13,986 | 17,588 | |||
Net profit for the year | 648 | 648 | |||||||
Items to be reclassified to profit or loss | |||||||||
Derivatives in cash-flow hedges | (25) | (25) | |||||||
Tax on items to be reclassified to profit or loss | 6 | 6 | |||||||
Items not to be reclassified to profit or loss | |||||||||
Own credit risk | 374 | 374 | |||||||
Revaluation of defined benefit plans | (48) | (48) | |||||||
Tax on items not to be reclassified to profit or loss | (82) | 10 | (72) | ||||||
Total other comprehensive income | (19) | 292 | (38) | 235 | |||||
Total comprehensive income | (19) | 292 | (38) | 648 | 883 | [2] | |||
Dividend | (232) | (232) | |||||||
Balance at the end of the year at Dec. 31, 2018 | [1],[3] | 3,990 | 6 | (117) | (42) | 14,402 | 18,239 | ||
Net profit for the year | 1,027 | 1,027 | |||||||
Items to be reclassified to profit or loss | |||||||||
Derivatives in cash-flow hedges | (8) | (8) | |||||||
Tax on items to be reclassified to profit or loss | 2 | 2 | |||||||
Items not to be reclassified to profit or loss | |||||||||
Own credit risk | 24 | 24 | |||||||
Revaluation of defined benefit plans | (4) | (4) | |||||||
Tax on items not to be reclassified to profit or loss | (5) | 1 | (4) | ||||||
Total other comprehensive income | (6) | 19 | (3) | 10 | |||||
Total comprehensive income | kr (6) | 19 | (3) | 1,027 | 1,037 | [2] | |||
Dividend | (194) | (194) | |||||||
Balance at the end of the year at Dec. 31, 2019 | [1],[3] | 3,990 | (98) | (45) | 15,235 | 19,082 | |||
Net profit for the year | 968 | 968 | |||||||
Items not to be reclassified to profit or loss | |||||||||
Own credit risk | 18 | 18 | |||||||
Revaluation of defined benefit plans | 1 | 1 | |||||||
Tax on items not to be reclassified to profit or loss | (4) | (1) | (5) | ||||||
Total other comprehensive income | 14 | 0 | 14 | ||||||
Total comprehensive income | 14 | 0 | 968 | 982 | [2] | ||||
Balance at the end of the year at Dec. 31, 2020 | [1],[3] | kr 3,990 | kr (84) | kr (45) | kr 16,203 | kr 20,064 | |||
[1] | See note 22. | ||||||||
[2] | The entire profit is attributable to the shareholder of the Parent Company. | ||||||||
[3] | The entire equity is attributable to the shareholder of the Parent Company. |
Statement of Cash Flows in the
Statement of Cash Flows in the Consolidated Group - SEK (kr) kr in Millions | 12 Months Ended | |||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||||
Operating activities | ||||||
Operating profit | kr 1,238 | kr 1,304 | kr 852 | |||
Adjustments for non-cash items in operating profit | ||||||
Provision for credit losses, net | 153 | 10 | (7) | |||
Depreciation and impairment of non-financial assets | 51 | 57 | 40 | |||
Exchange-rate differences | 5 | 7 | 5 | |||
Unrealized changes in fair value | (69) | (185) | (40) | |||
Other | 0 | (5) | 16 | |||
Total adjustments for non-cash items in operating profit | 140 | (116) | 14 | |||
Income tax paid | (311) | (529) | (366) | |||
Increase (-)/decrease (+) in lending | (37,824) | (2,540) | (9,016) | |||
Increase (-)/decrease (+) in bonds and securities held | 4,276 | (889) | (13,782) | |||
Other changes in assets and liabilities - net | 14,493 | 1,996 | (1,347) | |||
Cash flow from operating activities | (17,988) | (774) | (23,645) | |||
Investing activities | ||||||
Investments | (35) | (40) | (21) | |||
Cash flow from investing activities | (35) | (40) | (21) | |||
Financing activities | ||||||
Senior debt | 153,518 | 126,412 | 92,045 | |||
Repayments of debt | (119,143) | (112,190) | (59,390) | |||
Repurchase and early redemption of own long-term debt | (4,915) | (18,642) | (7,553) | |||
Change in subordinated debt | (2,322) | |||||
Derivatives | (8,651) | 4,049 | 1,830 | |||
Payment of lease liability | (27) | (39) | ||||
Dividend paid | (194) | (232) | ||||
Cash flow from financing activities | 20,782 | (604) | 24,378 | |||
Net cash flow for the period | 2,759 | (1,418) | 712 | |||
Cash and cash equivalents at beginning of the year | 1,362 | [1] | 2,416 | [1] | 1,231 | |
Exchange-rate differences on cash and cash equivalents | (759) | 364 | 473 | |||
Cash and cash equivalents at end of the year | [1] | 3,362 | 1,362 | 2,416 | ||
Cash and cash equivalents of which cash at banks | 561 | 651 | 374 | |||
Cash and cash equivalents of which cash equivalents | 2,801 | 711 | 2,042 | |||
Interest payments received and expenses paid | ||||||
Interest payments received | 4,329 | 9,057 | 4,586 | |||
Interest expenses paid | kr 2,861 | kr 4,366 | kr 3,192 | |||
[1] | Cash and cash equivalents include, in this context, cash at banks that can be immediately converted into cash and short-term deposits for which the time to maturity does not exceed three months from trade date. See note 11. |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Dec. 31, 2020 | |
Significant accounting policies | |
Significant accounting policies | Notes Note 1. Significant accounting policies The accounting policies set out below have been applied consistently to all periods presented in these consolidated Financial Statements, unless otherwise stated. Table of contents: (a) Reporting entity (b) Basis of presentation (c) Changes to accounting policies and presentation (d) Basis of consolidation (e) Segment reporting (f) Recognition of operating income (g) Foreign currency transactions (h) Financial instruments (i) Tangible assets (j) Intangible assets (k) Employee benefits (l) Equity (m) Taxes (n) Earnings per share (o) Statement of cash flows (p) Critical accounting policies, assumptions and estimates (q) New standards and amendments to standards and interpretations not yet adopted and considered relevant to SEK (a) Reporting entity AB Svensk Exportkredit (the “Parent Company”, the “Company” or “SEK”) is domiciled in Sweden. The address of the Company’s registered office is Klarabergsviadukten 61–63, P.O. Box 194, SE-101 23 Stockholm, Sweden. The Consolidated Group as of December 31, 2020 consists of SEK and its wholly owned, inactive subsidiary, SEKETT AB. These are jointly referred to as the “Consolidated Group” or the “Group”. During 2018, the winding-down of the subsidiary Venantius AB, including its wholly owned subsidiary VF Finans AB, was completed. (b) Basis of presentation (i) Statement of compliance The consolidated accounts have been compiled in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB). The IFRS standards applied by SEK are all endorsed by the European Union (EU). Additional standards, consistent with IFRS, are imposed by the Swedish Annual Accounts Act for Credit Institutions and Securities Companies (1995:1559) (ÅRKL), Recommendation RFR 1, Supplementary Accounting Principles for Groups, issued by the Swedish Financial Reporting Board (RFR), and the accounting regulations of the Swedish FSA (FFFS 2008:25), all of which have been complied with in preparing the Consolidated Financial Statements, of which these notes form a part. SEK also follows the Swedish Government’s principles for external reporting in accordance with its State Ownership Policy and principles for state-owned enterprises. The Consolidated Financial Statements were approved for issuance by SEK’s Board of Directors on February 18, 2021. The Group’s Statements of Comprehensive Income and Financial Position will be subject to approval by SEK’s shareholder at the Annual General Meeting to be held on March 24, 2021. (ii) Basis of measurement The Consolidated Financial Statements have been prepared on an amortized cost basis, subject to the following exceptions: (iii) Functional and presentation currency SEK has determined that the Swedish krona (Skr) is the Parent Company’s functional and presentation currency under IFRS. Significant factors are that SEK’s equity is denominated in Swedish kronor, its performance is evaluated based on a result expressed in Swedish kronor, and that a large portion of SEK’s expenses, especially personnel expenses, other expenses and taxes, are denominated in Swedish kronor. SEK manages its foreign currency risk by hedging exposures between the Swedish kronor and other currencies. (iv) Going concern SEK’s Board of Directors and management have made an assessment of SEK’s ability to continue as a going concern and are satisfied that SEK has the resources to continue operations for the foreseeable future. The Board of Directors and management are not aware of any material uncertainties that could cast significant doubt upon SEK’s ability to continue as a going concern. Therefore, the Financial Statements continue to be prepared on a going-concern basis. (c) Changes to accounting policies and presentation In all significant respects, the accounting policies, bases of calculation and presentation are unchanged compared with the 2019 annual report, except for the changes described below. In addition to the changes below, certain amounts reported in prior periods have been restated to conform to the current presentation. SEK analyzes and assesses the application and impact of changes in financial reporting standards that are applied within the Group. Changes that are not mentioned are either not applicable to SEK or have been determined to not have a material impact on SEK’s financial reporting. (i) Changed accounting of revenues and expenses in the CIRR system As of the fourth quarter of 2020, SEK reports interest income and interest expenses relating to assets and liabilities attributable to the CIRR system in SEK’s statement of comprehensive income The previous accounting principle was to not report these in SEK’s statement of comprehensive income, but only to report the administrative compensation from the Swedish government, the arrangement fee income when SEK is arranging the credits, and interest income from loans between SEK and CIRR-system. The new policy means that all revenue and expenses from the CIRR-system is recognized in SEK's profit or loss. The new policy does not impact the treatment of assets and liabilities related to the CIRR-system in the Group's statement of financial position and balance sheet, and thus, as previously, all assets and liabilities related to the CIRR-system have been included in SEK’s assets and liabilities in the Group’s statement of financial position as SEK bears the credit risk for lending and is a contracting party regarding lending and borrowing. The new presentation makes it easier for the reader to understand the return on SEK’s assets and costs for SEK’s liabilities. The change has no impact on SEK's net interest income or net profit, but only affects interest income and interest expenses. The comparative figures have been recalculated and the change, as well as the impact in 2020, is shown in the table below. Impact on statement of comprehensive income Full year 2020 Skr mn Old policy Change New policy Interest income calcucated using the effective interest method 3,495 1,465 4,960 Other interest income 384 -1,236 -852 Interest expenses -1,933 -229 -2,162 Net interest income 1,946 — 1,946 Impact on net profit for the period — — — Full year 2019 Skr mn Old policy Change New policy Interest income calcucated using the effective interest method 5,187 516 5,703 Other interest income 896 -242 654 Interest expenses -4,366 -274 -4,640 Net interest income 1,717 — 1,717 Impact on net profit for the period — — — Full year 2018 Skr mn Old policy Change New policy Intrest income calucated using the effective interest method 4,390 476 4,866 Other interest income 763 -263 500 Interest expenses -3,711 -213 -3,924 Net interest income 1,442 — 1,442 Impact on net profit for the period — — — (ii) Changes in Swedish regulations The Swedish Financial Reporting Board has amended the accounting recommendation for legal entities by issuing “RFR 2 Supplementary Accounting Rules for Legal Entities – January 2020”. SEK implemented those amendments on January 1, 2020 but they have not had any significant impact on SEK’s Financial Statements. (d) Basis of consolidation The Consolidated Financial Statements encompass the Parent Company and subsidiaries, meaning companies over which the Parent Company has control and that are impacted by the Company’s results. The Consolidated Financial Statements have been prepared using the purchase method. The Financial Statements of the subsidiary are included in the Consolidated Financial Statements from the date that control commences until the date that control ceases. The accounting policies of the subsidiary are consistent with Group policies. Intra-group transactions and balances, and any unrealized gains and losses arising from intra-group transactions, are eliminated in preparing the Consolidated Financial Statements. Unless otherwise stated or when it is clear from the context, the information in these notes relates to the Consolidated Group and the Parent Company. Consolidation of SEK pursuant to the supervisory regulations does differ from the consolidation made in the Consolidated Financial Statements, as SEKETT AB is not a financial company and no consolidation of SEK pursuant to the supervisory regulation was made. Since SEKETT is not an institute pursuant to the CRR definition, it is not subject to the supervisory regulations on an individual basis. No current or anticipated material restrictions to prompt transfer of own funds or repayment of liabilities among the parent or its subsidiary have been identified. (e) Segment reporting Segments are identified based on internal reporting to the chief executive officer (“CEO”) who serves as the chief operating decision maker. SEK has one segment, lending, based partly on the Company’s assignment from the owner, which is to ensure access to financial solutions for the Swedish export industry on commercial and sustainable terms, and partly on how governance and earnings monitoring of the business are conducted. Accordingly, no segment reporting has been prepared. Disclosures regarding the geographic breakdown and revenue per product group are presented in note 2. (f) Recognition of operating income (i) Net interest income Interest income and interest expense related to all financial assets and liabilities, regardless of classification, are recognized in net interest income. Interest income and interest expense are recognized on a gross basis, with the exception of interest income and interest expenses related to derivatives, which are reported on a net basis. Interest for derivatives used to hedge borrowing is recognized as interest expense and interest on all derivatives used to hedge assets is recognized as interest income, regardless of whether the contracts’ net interest is positive or negative. This reflects the real interest expense of borrowing after taking economic hedges into account. Negative interest rates on assets are recognized as interest expense and negative interest rates on liabilities are recognized as interest income. Interest income calculated using the effective interest method presented in SEK’s Financial Statements applies only to those assets that are subsequently measured at amortized cost and the interest for hedging instruments related to those assets as the effective interest method is a measurement technique whose purpose is to calculate amortized cost and allocate interest income over the relevant time period. This interest income and corresponding interest expense are calculated and recognized based on the effective interest rate method or based on a method that results in interest income or interest expense that is a reasonable approximation of the result that would be obtained using the effective interest method as the basis for the calculation. The effective interest rate is regarded as an integral part of the effective interest rate of a financial instrument (usually fees received as compensation for risk). The effective interest rate is equivalent to the rate used to discount contractual future cash flows to the carrying amount of the financial asset or liability. The item Other interest income covers interest income of financial assets at fair value through profit or loss and the remuneration for the CIRR-system. In addition to interest income and interest expense, net interest income, where these are recognized as interest expense, includes the resolution fee and guarantee commissions that are comparable to interest. Pursuant to the Company’s assignment as stated in its owner instruction issued by the Swedish government, SEK administers credit granting in the Swedish system for officially supported export credits (the “CIRR-system”). SEK receives compensation from the Swedish government in the form of an administration fee, which is calculated based on the principal amount outstanding. The administrative compensation received by SEK from the Swedish government is recognized as part of interest income in SEK’s Statement of Comprehensive Income since the commission received in compensation is equivalent to interest. (ii) Net fee and commission expense Commissions earned and commissions incurred are recognized as net fee and commission expense in SEK’s Statement of Comprehensive Income. The gross amounts of commissions earned and commissions incurred are disclosed in the notes to the Financial Statements. The major part of the revenues classified as commission earned constitutes revenue from contracts with customers according to IFRS 15. The recognition of commissions earned depends on the purpose for which the fee is charged. Fees are either recognized as revenue when services are performed or accrued over the period of a specific business transaction. Lending fees that are not part of the effective interest of a financial instrument are recognised at a point of time, such as when the transaction has been performed. Commissions incurred are transaction-based, and are recognized in the period in which the services are received. Guarantee commissions that are comparable to interest and fees that comprise integrated components of financial instruments, and therefore included in the effective interest rate, are not recognized as commissions and are instead included under net interest income. (iii) Net results of financial transactions Net results of financial transactions include realized gains and losses related to all financial instruments and unrealized gains and losses on all financial instruments measured at fair value, except for the types of financial instruments for which the change is to be recognized in other comprehensive income. Gains and losses include gains and losses related to currency exchange effects, interest-rate changes, changes in basis-spreads and changes in the credit rating of the counterparty to the financial contract. The item also includes the hedge ineffectiveness, i.e., market value changes attributable to hedged risks and derivatives in fair-value hedges. Realized gains and losses from financial instruments measured at amortized cost, such as interest rate compensation received and realized gains/losses from the repurchase of issued own debt, are recognized as they arise directly under net results of financial transactions. (g) Foreign currency transactions Monetary assets and liabilities in foreign currencies have been translated into the functional currency (Swedish krona) at the exchange rates applicable on the last day of each reporting period. Revenues and costs in foreign currencies are translated into Swedish kronor at the exchange rate prevailing on the dates that they arise. Any changes in the exchange rates between the relevant currencies and the Swedish krona relating to the period between the dates that they arise and the date of settlement are recognized as currency exchange effects. Currency exchange effects on the nominal amounts of financial assets and liabilities measured at fair value are recognized as currency exchange effects, although the currency exchange effect on the change in fair value that arises due to other components is not separated. Currency exchange effects are included as a component of net results of financial transactions. (h) Financial instruments (i) Recognition and derecognition in the Statement of Financial Position When recognizing financial instruments, trade date accounting is applied for the recognition and derecognition of securities bought, securities issued and derivatives. Other financial instruments are recognized in the Statement of Financial Position and derecognized from this on the relevant settlement date. The difference between the carrying amount of a financial liability or an asset (or part of a financial liability or an asset) that is extinguished or transferred to another party and the consideration paid is recognized in the Statement of Comprehensive Income under net results of financial transactions. A financial asset or liability is recognized in the Statement of Financial Position only when SEK becomes a party to the contractual provisions of the instrument. A financial asset is derecognized from the Statement of Financial Position when the contractual rights to receive the cash flows from the asset cease or when the asset is transferred and the transfer qualifies for derecognition. A financial liability (or part of a financial liability) is derecognized from the Statement of Financial Position only when it is extinguished, such as when the obligation specified in the contract is discharged, canceled or expires. In the case of renegotiated financial assets, such as lending, the asset is derecognized from the Statement of Financial Position when the terms of the loan are deemed to be substantially different. The terms are deemed to be substantially different when the present value of the cash flows under the new terms, including any fees paid net of any fees received and discounted using the original effective interest rate, differs by not less than 10 percent from the discounted present value of the remaining cash flows for the original debt instrument. A change of currency or counterparty are deemed substantially different terms. Should the renegotiated loan entail terms that are substantially different, it is recognized as a new loan. (ii) Measurement on initial recognition When financial instruments are initially recognized, they are measured at fair value plus, in the case of financial assets or financial liabilities not carried at fair value through profit or loss, any transaction costs that are directly attributable to the acquisition or issuance of the financial asset or financial liability. (iii) Offsetting Financial assets and liabilities are offset and presented in the Statement of Financial Position when the Group has a legal right to offset the amounts and intends either to settle on a net basis or to realize the asset and settle the liability simultaneously. Derivative assets and derivatives liabilities in relation to central clearing counterparties are offset in the Consolidated Statement of Financial Position, but cash collateral received or paid is accounted for separately as paid or received cash collaterals. Refer to note 14 for further information about the offsetting of financial assets and financial liabilities. (iv) Classification of financial assets and liabilities Financial assets and liabilities are categorized in two categories for valuation purposes: amortized cost (“AMC”) and fair value through profit or loss (FVTPL). Financial assets at amortized cost (AMC). The balance sheet items Cash and cash equivalents, Loans to credit institutions, Loans to the public and Loans in the form of interest-bearing securities are recognized at amortized cost, provided that the following criteria are met by all assets: The financial asset is included in a portfolio where the business model aims to collect contractual cash flows and the terms and conditions for the financial asset entail that the cash flows received comprise solely payments of principal and interest (SPPI) on nominal amounts outstanding. The business model is based on SEK’s overriding portfolio objective, and on how the Company manages, monitors and evaluates the financial assets in the portfolio from both a business and a risk perspective. The business model is established at a level (homogenous portfolio) that reflects how the asset is treated in relation to the objective/business goal. The following parameters have been evaluated in relation to the liquidity portfolio: Internal targets and governance of the liquidity portfolio, and documentation thereof; Administration and commercial follow-up; Risk management, follow-up and reporting; Frequency, objective and volume in terms of noted sales; and Remuneration models, and how these are impacted by valuation methods. IFRS 9 requires that SEK categorize financial assets based on the properties of the contractual cash flows, where the financial asset is held in a business model with the objective of holding assets to collect contractual cash flows (hold to collect). The assessment of the properties of the contractual cash flows aims to identify if the contractual cash flows comprise solely payments of principal and interest, which is an SPPI test. Contractual cash flows that solely payments of principal and interest qualify as a basic lending arrangement, which is a prerequisite for measuring the instrument at amortized cost. SEK has prepared a tool for the implementation and documentation of evaluations and assessments of financial assets in the lending portfolios, whereby relevant factors are taken into consideration, such as the tenor of the interest rate in relation the interest-rate setting period, interest-rate cap/floor, index-linked coupon/interest, payment trigger, currency mismatch, government interest rates and early repayment. Financial assets measured at fair value through profit or loss (FVTPL). Derivatives are measured at FVTPL. Interest-bearing securities included in SEK’s liquidity investments, consisting of the balance-sheet items Treasuries/government bonds and Other interest-bearing securities except loans, are measured at fair value (FVTPL) and, accordingly, they are included in a portfolio, where the business model entails measurement at fair value. Financial assets measured at fair value through profit or loss (FVTPL) are recognized at fair value in the Statement of Financial Position. Changes in fair value are recognized in profit or loss under the item Net results of financial transactions. Financial liabilities measured at fair value through profit or loss (FVTPL). There are two main subcategories in the category of financial liabilities at fair value through profit or loss: financial liabilities designated upon initial recognition at fair value through profit or loss (FVO) and financial liabilities mandatorily measured at fair value. Securities issued by SEK containing embedded derivatives are in their entirety irrevocably classified as financial liabilities at fair value through profit or loss. Derivatives are measured at FVTPL. Financial liabilities measured at fair value through profit and loss are recognized at fair value in the Statement of Financial Position. Changes in fair value are recognized in profit or loss under the item Net results of financial transactions with the exception of gains and losses that arise from changes in SEK’s own credit risk on liabilities classified in accordance with FVO. Such changes are recognized in the Reserve for changes in own credit risk under Other comprehensive income and are not reclassified to profit or loss. Financial liabilities at amortized cost (AMC). All debt securities issued by SEK other than those classified as financial liabilities at fair value through profit or loss are measured at amortized cost, using the effective interest rate method. Where one or more derivative is used to hedge currency, interest rate and/or other exposures, fair-value hedge accounting is applied. Subordinated debt is classified as other financial liabilities and is subject to fair-value hedge accounting. When applying fair-value hedge accounting on subordinated debt, hedging is applied to the subordinated debt for the period corresponding to the derivative’s time to maturity, when the maturities do not coincide. (v) Presentation of certain financial instruments in the Statement of Financial Position The presentation of financial instruments in the Statement of Financial Position differs in certain respects from the categorization of financial instruments made for valuation purposes. Loans in the form of interest-bearing securities comprise loans granted to customers that are contractually documented in the form of interest-bearing securities, as opposed to bilateral loan agreements, which are classified in the Statement of Financial Position either as loans to credit institutions or loans to the public. All other financial assets that are not classified in the Statement of Financial Position as loans in the form of interest-bearing securities are presented as cash and cash equivalents, treasuries/government bonds, other interest-bearing securities except loans or derivatives. (vi) Presentation of certain financial instruments Derivatives. In the ordinary course of its business, SEK uses various types of derivatives for the purpose of hedging or eliminating SEK’s interest-rate, currency-exchange-rate or other exposures. Derivatives are classified as financial assets or liabilities at fair value through profit or loss. Where SEK decides to categorize a financial liability at fair value through profit or loss (FVO), the purpose is to avoid the mismatch that would otherwise arise from the fact that the changes in the value of the derivative, measured at fair value, would not match the changes in value of the underlying liability, measured at amortized cost. Guarantees. SEK holds financial guarantees in connection with certain loans. Such guarantees are ordinarily accounted for as guarantees in accordance with SEK’s established accounting policy and are therefore not recognized in the Consolidated Statement of Financial Position except for the deferred costs of related guarantee fees paid in advance for future periods. When SEK classifies a risk-mitigating instrument as a financial guarantee, SEK always owns the specific asset whose risk the financial guarantee mitigates and the potential amount that SEK can receive from the counterparty under the guarantee represents only the actual loss incurred by SEK related to its holding. Premiums on financial guarantees are accrued and recognized as interest expense in net interest income. Credit default swaps are recognized at fair value at fair value through profit or loss. Embedded derivatives. In the ordinary course of its business, SEK issues financial liabilities that frequently contain embedded derivatives. When financial liabilities contain embedded derivatives, where the financial characteristics and risks of the instrument’s unique components are not related, the entire instrument is irrevocably classified as financial liabilities measured at fair value through profit or loss (FVO), and thus does not separate the embedded derivatives. Leasing assets (SEK as a lessor). In the ordinary course of its business, SEK acquires leases that are classified as finance leases (as opposed to operating leases). When making such a classification, all aspects of the leasing contract, including third-party guarantees, are taken into account. Any lease payment that is received from a lessee is divided into two components for the purposes of measurement: one component constituting a repayment of the loan and the other component recognized as interest income. Lease liability (SEK as a lessee). All leases, with the exception of short-term and low-value leases, are to be recognized as right-of-use assets subject to depreciation with corresponding liabilities in the lessee's balance sheet, and the lease payments are to be recognized as repayments and interest expenses. The leasing liability is accounted for under Other liabilities. The lease term is determined as the non-cancellable period of a lease, together with any extension or termination options when SEK is reasonably certain to exercise them. Reassessments of extensions and terminations options are made upon the occurrence of either a significant event or a significant change in circumstances that is within the control of SEK and will affect the assessment of whether it is reasonably certain to exercise the option. The lease term is revised if there is a change in the non-cancellable period of lease, for example, if an option not previously included in the lease term is exercised. The lease liability consists of the future cash flows, which are discounted using SEK's incremental borrowing rate. SEK has also decided to apply the exceptions for short-term and low-value leases, for example office machinery, which are accounted for as leasing cost under other administrative expenses. SEK has elected not to separate non-lease components from lease components, and accounts for each lease component and any associated non-lease component, except for expenses for real estate tax and non-deductible value added tax, as a single lease. Committed undisbursed loans and binding offers. Committed undisbursed loans and binding offers, disclosed under the heading “Commitments” in note 24 are measured as the undiscounted future cash flows concerning loan disbursements related to loans committed but not yet disbursed at the reporting period end date, as well as binding offers. Repurchased debt. SEK repurchases its own debt from time to time. Gains or losses that SEK realizes when repurchasing own debt instruments are recognized in the Statement of Comprehensive Income as a component of Net results of financial transactions. Assets and liabilities related to the CIRR system. All assets and liabilities related to the CIRR-system are included in SEK's assets and liabilities in the Group's report on financial position as SEK bears the credit risk for lending and is the party to the agreement regarding lending and borrowing. Unrealized revaluation effects on derivatives related to the CIRR-system are recognized net under other assets. (vii) Hedge accounting SEK applies hedge accounting in cases where derivatives are used to create economic hedging and the hedge relationship is eligible for hedge accounting, with the exception of lending within the CIRR-system, for which hedge accounting is not applied. The method used for hedge accounting is either fair-value hedge accounting or cash-flow hedge accounting. In order to be able to apply hedge accounting in accordance with IFRS 9, the hedge relationship must meet the hedge effectiveness criteria at the beginning of each hedged period which requires that: there is an economic relationship between the hedged item and the hedging instrument; the effect of credit risk does not dominate the value changes that result from that economic relationship; the hedge ratio of the hedging relationship is the same as that actually used in the economic hedge; and the effects of the forthcoming reforms to reference rates, as this might have a different impact on the hedged item and the hedging instrument, see note 14 for further information. Fair-value hedge accounting. Fair-value hedge accounting is used for transactions in which one or several derivatives are used to hedge the interest-rate risk that has arisen from a fixed-rate financial asset or liability. When applying fair-value hedging, the hedged item is revalued at fair value with regard to the risk being hedged. SEK defines the risk being hedged in fair-value hedge accounting as the risk of a change in fair value with regard to a chosen reference rate (referred to as interest-rate risk). The hedged item may be a component of the financial asset or liability, i.e., comprises less than the entire fair value change for the financial asset or liability. That could be a component of the nominal amount or the tenor of the item. The hedging instrument may consist of one or several derivatives that exchange fixed interest for floating interest in the same currency (interest-rate derivatives) or one or several instruments that exchange fixed interest in one currency for floating interest in another currency (interest and currency derivatives), in which case the currency risk is a part of the fair value hedge. Both at inception of the hedge and on an ongoing basis, SEK’s hedging relationships are expected to be highly effective in achieving offsetting changes in fair values attributable to the hedged risk. An assessment of effectiveness is performed by comparing critical terms for the hedged item and the hedging transaction. If they are identical, but reversed, the hedge relationship is regarded 100% effective. The hedge ratio is 1:1 other than in specific circumstances where SEK may choose a hedge ratio other than 1:1 in order to improve the effectiveness. Potential sources of ineffectiveness in the hedge relationship are: changes in timing of the payment of the hedged item, use of an existing derivative with a non-zero fair value, changes in timing of the trade date of the derivative and the validation of the hedge relationship, the different treatment of currency basis in calculating changes in the fair value of the hedging instrument and hedged item and a significant change in the credit risk of either party to the hedge relationship. The credit risk of the entities is monitored by the Credit Department on an ongoing basis. The |
Net interest income
Net interest income | 12 Months Ended |
Dec. 31, 2020 | |
Net interest income | |
Net interest income | Note 2. Net interest income Skr mn 2020 2019 2018 Interest income Loans to credit institutions 236 546 1,498 Loans to the public 4,210 4,597 2,965 Loans in the form of interest-bearing securities 897 829 672 Interest-bearing securities excluding loans in the form of interest-bearing securities 242 686 523 Derivatives -1,708 -538 -501 Administrative remuneration CIRR-system 1 197 194 157 Other assets 34 43 52 Total interest income 4,108 6,357 5,366 Interest expenses Interest expenses excl. resolution fee -2,076 -4,471 -3,658 Resolution fee -86 -169 -266 Total interest expenses -2,162 -4,640 -3,924 Net interest income 1,946 1,717 1,442 Skr mn 2020 2019 2018 Interest income were related to: Financial assets at fair value through profit or loss -1,070 452 283 Derivatives used for hedge accounting -396 -303 -261 Financial assets at amortized cost 5,574 6,208 5,344 Total interest income 4,108 6,357 5,366 Interest expenses were related to: Financial liabilities at fair value through profit or loss 725 1,158 685 Financial assets measured at fair value through profit or loss - negative interest on income -60 -72 -104 Financial assets measured at amortized cost - negative interest income 0 -9 -27 Derivatives used for hedge accounting 1,904 -286 106 Financial liabilities at amortized cost -4,731 -5,431 -4,584 Total interest expenses -2,162 -4,640 -3,924 Net interest income 1,946 1,717 1,442 Interest income geographical areas Skr mn 2020 2019 2018 Sweden 1,223 1,281 1,114 Europe except Sweden -166 1,340 1,288 Countries outside of Europe 3,051 3,736 2,964 Total interest income 4,108 6,357 5,366 Interest income per product group Skr mn 2020 2019 2018 Lending to Swedish exporters 1,921 1,954 1,709 Lending to exporters’ customers 2 1,229 1,784 1,665 Liquidity 958 2,619 1,992 Total interest income 4,108 6,357 5,366 1 Including administrative remuneration for concessionary loans by Skr 1 million (2019: Skr 2 million). 2 In interest income for Lending to exporters’ customers, Skr 196 million (2019: Skr 192 million) represent remuneration from the CIRR-system (see note 24). Since Q4 2020, SEK has changed the accounting principle regarding the CIRR-system. The comparative figures have been adjusted, see Note 1. |
Net fee and commissions expense
Net fee and commissions expense | 12 Months Ended |
Dec. 31, 2020 | |
Net fee and commissions expense | |
Net fee and commissions expense | Note 3. Net fee and commissions expense Skr mn 2020 2019 2018 Fee and commissions earned were related to 1 : Lending 1 1 5 Total 1 1 5 Commissions incurred were related to 1 : Depot and bank fees -10 -8 -7 Brokerage -4 -5 -4 Other commissions incurred -29 -21 -26 Total -43 -34 -37 Net fee and commissions expense -42 -33 -32 1 Skr -37 million (2019: Skr -28 million) includes financial assets and liabilities not measured at fair value through profit or loss. |
Net results of financial transa
Net results of financial transactions | 12 Months Ended |
Dec. 31, 2020 | |
Net results of financial transactions | |
Net results of financial transactions | Note 4. Net results of financial transactions Skr mn 2020 2019 2018 Derecognition of financial instruments not measured at fair value through profit or loss: Financial assets at amortized cost 14 19 24 Financial assets or liabilities at fair value through profit or loss: Designated upon initial recognition (FVO) 1 -488 -5,590 7,315 Mandatorily 466 5,710 -7,360 Financial instruments under fair-value hedge accounting: Net results of the hedging instrument 1,277 2,846 -192 Net results of the hedged item -1,191 -2,761 235 Currency exchange-rate effects on all assets and liabilities excl. currency exchange-rate effects related to revaluation at fair value 5 2 -3 Total net results of financial transactions 83 226 19 |
Personnel expenses
Personnel expenses | 12 Months Ended |
Dec. 31, 2020 | |
Personnel expense | |
Personnel expenses | Note 5. Personnel expenses Skr mn 2020 2019 2018 Salaries and remuneration to the Board of Directors and the CEO -7 -7 -7 Salaries and remuneration to Senior Executives -25 -23 -21 Salaries and remuneration to other employees -168 -161 -158 Pensions -64 -60 -52 Social insurance -68 -63 -59 Other personnel expenses -15 -19 -14 Total personnel expenses -347 -333 -311 The combined total of the remuneration to senior executives, excluding the CEO of the Parent Company, amounted to Skr 25 million (2019: Skr 23 million). Of the remuneration to senior executives, Skr 25 million (2019: Skr 23 million) is pensionable. Of the remuneration to the CEO of the Parent Company, Skr 5 million (2019: Skr 5 million) is pensionable. For all employees, excluding the CEO, SEK follows collective agreements between the Banking Institution Employers’ Organization (BAO) and trade unions. Remuneration and other benefits to the Board of Directors and Senior Fee, Executives in the Consolidated Group includes 2020 committee Fixed Other Skr thousand fee remuneration 1 benefits 2 Pension fee 3 Total Chairman of the Board of Directors: Lars Linder-Aronson -588 — — — -588 Other members of the Board of Directors: Cecilia Ardström -322 — — — -322 Anna Brandt 4 — — — — — Reinhold Geijer -288 — — — -288 Hans Larsson -302 — — — -302 Eva Nilsagård -297 — — — -297 Ulla Nilsson -322 — — — -322 Hanna Lagercrantz 4 , — — — — — Senior Executives: Catrin Fransson, Chief Executive Officer (CEO) 5 — -5,234 -33 -1,536 -6,803 Per Åkerlind, Deputy Chief Executive Officer and Head of Partnerships and Relations — -3,527 -31 -1,257 -4,815 Karl Johan Bernerfalk, General Counsel, Head of Legal — -1,576 -31 -552 -2,159 Andreas Ericson, Head of Mid Corporates — -2,024 -32 -631 -2,687 Stefan Friberg, Chief Financial Officer (CFO) — -2,964 -18 -515 -3,497 Teresa Hamilton Burman, Chief Credit Officer (CCO) — -2,389 -18 -524 -2,931 Jens Hedar, Head of Large Corporates — -2,316 -18 -635 -2,969 Petra Könberg, Head of Marketing and Communications — -1,286 -34 -428 -1,748 Peter Svensén, Chief Risk Officer (CRO) — -2,597 -26 -569 -3,192 Sirpa Rusanen, Chief Human Resources Officer (CHRO) — -1,719 -22 -675 -2,416 Susanna Rystedt, Head of Business Development, Business Support and Transformation — -2,501 -16 -788 -3,305 Madeleine Widaeus, Chief Information Officer (CIO) — -1,671 -16 -493 -2,180 Total -2,119 -29,804 -295 -8,603 -40,821 1 Predetermined salary or other compensation such as holiday pay and allowances. 2 Other benefits consist of, for example subsistence benefits. 3 Includes premiums for insurance covering sickness benefit for prolonged illness and other public risk insurance as a result of collective pension agreements. 4 Remuneration is not paid from the Company to the representatives on the Board of Directors who are employed by the owner, the Swedish -Government. 5 The retirement age of the CEO, Catrin Fransson, is 65 years and the pension fee is 30 percent of her fixed salary. Remuneration and other benefits to the Board of Directors and Senior Fee, Executives in the Consolidated Group includes 2019 committee Fixed Other Skr thousand fee remuneration 1 benefits 2 Pension fee 3 Total Chairman of the Board of Directors: Lars Linder-Aronson -603 — — — -603 Other members of the Board of Directors: Cecilia Ardström -308 — — — -308 Anna Brandt 4 — — — — — Reinhold Geijer -275 — — -275 Hans Larsson -249 — — — -249 Eva Nilsagård -277 — — — -277 Ulla Nilsson -298 — — — -298 Hélène Westholm 4 , resigned March 28, 2019 — — — — — Hanna Lagercrantz 4 , from March 28, 2019 — — — — — Senior Executives: Catrin Fransson, Chief Executive Officer (CEO) 5 — -5,015 -25 -1,462 -6,502 Per Åkerlind, Head of Treasury and Capital Management and Executive Vice President — -3,509 -30 -1,123 -4,662 Karl Johan Bernerfalk, General Counsel — -1,507 -23 -529 -2,059 Andreas Ericson, Head of Mid Corporates — -1,978 -28 -607 -2,613 Stefan Friberg, Chief Financial Officer (CFO) — -2,922 -27 -500 -3,449 Teresa Hamilton Burman, Chief Credit Officer (CCO) — -2,353 -18 -508 -2,879 Jens Hedar, Head of Large Corporates — -2,224 -15 -649 -2,888 Petra Könberg, Head of Marketing & Business Development — -1,236 -33 -407 -1,676 Irina Slinko, acting Chief Risk Officer (CRO), resigned August 20, 2019 — -1,159 -12 -365 -1,536 Anna-Lena Söderlund, acting Chief Risk Officer (CRO), from August 21, 2019, resigned October 27, 2019 — -278 -6 -115 -399 Peter Svensén, Chief Risk Officer (CRO), from October 28, 2019 — -471 -3 -80 -554 Sirpa Rusanen, Chief Human Resources Officer (CHRO) — -1,644 -42 -623 -2,309 Susanna Rystedt, Chief Administrative Officer (CAO) — -2,484 -40 -759 -3,283 Madeleine Widaeus, Chief Information Officer (CIO) — -1,574 -16 -463 -2,053 Total -2,010 -28,354 -318 -8,190 -38,872 1 Predetermined salary or other compensation such as holiday pay and allowances. 2 Other benefits consist of, for example, car allowances and subsistence benefits. 3 Includes premiums for insurance covering sickness benefit for prolonged illness and other public risk insurance as a result of collective pension agreements. 4 Remuneration is not paid from the Company to the representatives on the Board of Directors who are employed by the owner, the Swedish -Government. 5 The retirement age of the CEO, Catrin Fransson, is 65 years and the pension fee is 30 percent of her fixed salary. Remuneration and other benefits to the Board of Directors and Senior Executives in the Consolidated Group Remuneration and other benefits to the Board of Directors and Senior Fee, Executives in the Consolidated Group includes 2018 committee Fixed Other Skr thousand fee remuneration 1 benefits 2 Pension fee 3 Total Chairman of the Board of Directors: Lars Linder-Aronson 4 -612 — — — -612 Other members of the Board of Directors: Cecilia Ardström C -287 — — — -287 Anna Brandt — — — — — Reinhold Geijer 4 -269 — — — -269 Hans Larsson 4 -250 — — — -250 Eva Nilsagård. from April 24, 2018 -182 — — — -182 Susanne Lithander, resigned April 24, 2018 -74 — — — -74 Lotta Mellström, resigned April 24, 2018 5 — — — — — Ulla Nilsson -287 — — — -287 Hélène Westholm, from April 24, 2018 — — — — — Senior Executives: Catrin Fransson, Chief Executive Officer (CEO) 6 — -4,743 -88 -1,418 -6,249 Per Åkerlind, Head of Treasury and Capital Management and Executive Vice President — -3,339 -85 -1,307 -4,731 Karl Johan Bernerfalk, General Counsel — -1,414 -33 -505 -1,952 Andreas Ericson, Head of Mid Corporates, from October 15, 2018 — -410 -6 -146 -562 Stefan Friberg, Chief Risk Officer (CRO) — -2,930 -25 -483 -3,438 Teresa Hamilton Burman, Chief Credit Officer (CCO) — -2,326 -16 -493 -2,835 Jens Hedar, Head of Large Corporates, from October 15, 2018 — -461 -5 -157 -623 Johan Henningsson, Head of Sustainability — -1,261 -27 -466 -1,754 Petra Könberg, Head of Marketing & Business Development — -1,143 -28 -384 -1,555 Jane Lundgren Ericsson, Head of Lending, resigned October 12, 2018 — -1,943 -75 -610 -2,628 Ingela Nachtweij, acting Chief Information Officer (CIO), resigned January 31, 2018 — -128 -2 -36 -166 Sirpa Rusanen, Chief Human Resources Officer (CHRO) — -1,471 -106 -556 -2,133 Susanna Rystedt, Chief Administrative Officer (CAO) — -2,255 -108 -733 -3,096 Madeleine Widaeus, IT-chief, from February 1, 2018 — -1,360 -11 -405 -1,776 Total -1,961 -25,184 -615 -7,699 -35,459 1 Predetermined salary or other compensation such as holiday pay and allowances. 2 Other benefits consist of, for example, car allowances and subsistence benefits. 3 Includes premiums for insurance covering sickness benefit for prolonged illness and other public risk insurance as a result of collective pension agreements. 4 Remuneration is not paid from the Company to the representatives on the Board of Directors who are employed by the owner, the Swedish -Government. 5 The retirement age of the CEO, Catrin Fransson, is 65 years and the pension fee is 30 percent of her fixed salary. Total Expenditure on Remuneration in accordance with CRR 2020 Other members of staff whose actions have a material impact Skr thousand Executive -management on the risk profile of the institution Total amount expensed for remuneration -38,632 -87,252 of which fixed remuneration -38,632 -81,244 of which variable remuneration in cash — -6,008 number of beneficiaries 12 67 Outstanding vested deferred remuneration — — Outstanding unvested deferred remuneration -90 -8,164 Deferred remuneration awarded — -3,605 Deferred remuneration paid out -69 -2,535 Deferred remuneration reduced through performance adjustments — — Severance payments made — — number of beneficiaries — — Severance payments awarded — — 2019 Other members of staff whose actions have a material impact Skr thousand Executive -management on the risk profile of the institution Total amount expensed for remuneration -34,780 -88,565 of which fixed remuneration -34,780 -81,730 of which variable remuneration in cash — -6,835 number of beneficiaries 12 74 Outstanding vested deferred remuneration — — Outstanding unvested deferred remuneration -90 -4,727 Deferred remuneration awarded — -4,101 Deferred remuneration paid out -69 -569 Deferred remuneration reduced through performance adjustments — — Severance payments made — -1,319 number of beneficiaries — 1 Severance payments awarded — — 2018 Other members of staff whose actions have a material impact Skr thousand Executive -management on the risk profile of the institution Total amount expensed for remuneration -33,617 -111,896 of which fixed remuneration -33,617 -111,896 of which variable remuneration in cash — — number of beneficiaries 12 114 Outstanding vested deferred remuneration — — Outstanding unvested deferred remuneration -207 -1,884 Deferred remuneration awarded — — Deferred remuneration paid out -239 -2,910 Deferred remuneration reduced through performance adjustments — — Severance payments made — — number of beneficiaries — — Severance payments awarded — -1,319 Finansinspektionens (the Swedish FSA’s) regulations (FFFS 2011:1) regarding remuneration structures in credit institutions, investment firms and fund management companies licensed to conduct discretionary portfolio management apply to SEK. Moreover, SEK applies the government’s ownership policy and guidelines on terms of employment for senior executives at state-owned companies 2020. In accordance with these regulations, SEK’s Board has prepared a proposal for a set of guidelines for the remuneration of senior executives at SEK, which was adopted at the 2019 Annual General Meeting. The guidelines stipulate that salary and remuneration to the senior executives of SEK should be fair and reasonable. They should also be competitive, capped and appropriate as well as contribute to good ethical principles and corporate culture. Remuneration should not be higher than at comparable companies, and should be reasonable. Remuneration to senior executives consists of fixed salary, severance pay, pension benefits and other benefits. Pension terms for senior executives should be in the form of defined contribution plans. SEK's remuneration system is designed to promote sound and effective risk management and restrict excessive risk-taking. Remuneration to employees is mainly determined at fixed amounts. SEK’s Board of Directors’ Remuneration Committee (the “Remuneration Committee”) prepares proposals for decision by the Board relating to remuneration policy for the Company, on total remuneration for the CEO, for other members of the executive management, for the Head of Compliance, and for other employees reporting directly to the CEO, as well as on the terms and conditions for and the outcome of the Company’s remuneration system. The Remuneration Committee also prepares and handles overall issues relating to remuneration (salaries, pension and other benefits), measures aimed at applying SEK’s remuneration policy, and issues relating to succession planning. Further, the Remuneration Committee prepares overall instructions for remuneration issues that it deems necessary. The Remuneration Committee also ensures that the relevant oversight department, together with the Remuneration Committee, annually reviews and evaluates the Company’s remuneration systems and also reviews whether such systems comply with the Company’s remuneration policy and relevant instructions regarding remuneration. The outcome is presented to the Board in a separate report on the same day as the annual report is submitted. The Remuneration Committee has met five times in 2020. The company has only one variable remuneration system, individual variable compensation ("IRE"). Within this system, permanent staff that have customer or business responsibility, but are not members of senior management, are offered the opportunity to receive individual variable remuneration . IRE has been around since 2017 and should be evaluated on an ongoing basis. The result of the evaluations shall be reported to the Remuneration Committee The IRE system is discretionary in nature, in that all outcomes are subject to deferred payment and the Board takes all decisions regarding results and payments. Before an individual receives any IRE payment, the payment is subject to testing at three different levels: the Company level, the Department level and the Individual level. The test at the Company level is the basis for any IRE outcome. The outcome at the Company level is conditional on the actual return exceeding a predetermined target. If appropriate, actual return is adjusted for the impact of non-operational items and unexpectedly high risk-taking. Of the profit that corresponds to any excess return, a percentage accrues to the IRE at the Company level. The outcome at the Company level is capped at a maximum of two months’ salary, calculated on the basis of all Company employees entitled to IRE. In the case of a positive outcome at the Company level, the next step is to test at the Department level. This test assesses the outcome at the Department level in relation to the department’s quantitative targets. If the targets have not been reached, the outcome at the Company level is reduced for all members of the department. The remainder after this test comprises the outcome at the Department level, which is capped at a maximum of two months’ salary, calculated on the basis of all department’s employees entitled to IRE. The final test is at the Individual level. This test assesses the behavior and performance of individuals. For each individual, the outcome following the test at the Individual level is subject to a floor of zero and a ceiling of 1.5 times the amount at the Department level. Accordingly, the maximum outcome for any individual is three months’ salary. The total outcome for all employees encompassed by IRE in a department must be within the outcome at the Department level. The Company pays payroll taxes on any IRE paid, which also carries pension entitlements. SEK’s remuneration policy is designed in such a way that the Company may decide that remuneration that is subject to deferred disbursement may be withheld, in part or full, if it subsequently transpires that the performance criteria have not been fulfilled or if the employee has breached certain internal rules. The same applies if disbursement would not be justifiable by the Company’s financial situation. Moreover, the outcome may also be adjusted if credit losses, or recoveries of credit losses, have occurred after the relevant income year, but are deemed to be attributable to that year. For all employees encompassed by IRE, the disbursement plan states that 40 percent of the outcome will be disbursed in April in the year following the income year to which the remuneration relates, and 20 percent will be disbursed in April in each of the three subsequent years. As part of its strategic analysis and planning, the Company undertakes an annual process for internal capital and liquidity assessment. As part of this assessment, an analysis is conducted with the aim of identifying employees, whose work duties have a material impact on SEK’s risk profile, including risks related to the Company’s remuneration policy and remuneration system. The outcome of this analysis is taken into account when designing the remuneration systems in order to promote sound and efficient risk management and to restrict excessive risk-taking. No employees receive remuneration of EUR 1 million or more per fiscal year. No new agreements containing variable remunerations have been established during the year. The CEO’s, Catrin Fransson’s, terms of employment comply with the Guidelines for Terms of Employment for Senior Executives in State-owned Companies 2020. SEK pays a defined contribution pension insurance amounting to 30 percent of the CEO’s pensionable salary. The retirement age for the CEO is 65. For the CEO, SEK pays premiums for insurance for sickness benefits for prolonged illness, other collective risk insurance corresponding to those applicable under the BTP plan as well as healthcare insurance under Skandia Privatvård Plus and travel insurance. Other benefits payable to the CEO include per diem allowances. The CEO is entitled to six months’ notice prior to termination initiated by SEK and severance pay corresponding to 18 months’ salary. A deduction is made for any income arising from new employment. The retirement age is 65 for all senior executives. The pension terms, conditions for termination of employment and other terms of employment for the senior executives follow the current Guidelines for Terms of Employment for Senior Executives in State-owned Companies 2020, where the BTP plan is included as an approved, collectively bargained, defined-benefit and defined-contribution pension plan. Since the 2017 Annual General Meeting, the new guidelines apply when appointing new senior executives at SEK. Pension provisions for senior executives in SEK are limited to 30 percent of pensionable income for retirement and survivors’ pension. Due to SEK’s implementation of a defined-benefit pension plan, the BTP plan, resulting from a collective agreement between the BAO and the Financial Sector Union of Sweden, covering employees in the banking and finance industries, the contribution for retirement and survivors’ pension can exceed 30 percent. For the senior executives, SEK pays premiums for insurance for sickness benefits for prolonged illness, other collective risk insurance arising out of applicable collective agreements as well as travel insurance and health insurance. Other benefits include car and per diem allowances. Per Åkerlind has a notice period of six months should termination be initiated by SEK and is entitled to severance pay corresponding to 18 months’ salary. A deduction is made for any income arising from new employment. For other senior executives, the notice period upon termination initiated by SEK follows collective agreements. Upon resignation by the employee, the notice period is three or six months. Pensions Total pension cost for defined benefit and defined contribution obligations Skr mn 2020 2019 2018 Service cost -5 -6 -4 Regulation of pension obligations 0 0 5 Interest cost, net -1 -2 -1 Pension cost for defined benefit pensions, incl. payroll tax -6 -8 0 Pension cost for defined contribution pension cost incl. payroll tax -58 -52 -52 Pension cost recognized in personnel costs -64 -60 -52 Actuarial gains (+) and losses (-) on defined benefit obligation during period -2 -16 -48 Return above expected return, gains (+) and losses (-) on plan assets 3 12 0 Change in the effect of the asset ceiling excluding interest — — — Revaluation of defined benefit plans 1 -4 -48 Net value of defined benefit pension obligations Skr mn 2020 2019 2018 Defined benefit obligations 277 272 253 Plan assets -195 -189 -173 Provision for pensions, net obligation 1 82 83 80 1 See note 21. Development of defined benefit obligations Skr mn 2020 2019 2018 Defined benefit obligation, opening balance 272 253 263 Service cost 6 6 4 Interest cost 5 5 6 Pension Payments incl. special payroll tax -9 -8 -9 Actuarial gains (-) and losses (+), effect due to changed demographic assumptions — — -59 Actuarial gains (-) and losses (+), effect due to changed financial assumptions 12 25 46 Actuarial gains (-) and losses (+), effect due to experience based outcome -9 -9 2 Defined benefit obligation, closing balance 277 272 253 Development of plan assets related to defined benefit obligation Skr mn 2020 2019 2018 Fair value of plan assets, opening balance 189 173 223 Expected return on plan assets 3 4 5 Contributions by the employer 1 7 7 7 Benefits paid 2 -8 -7 -8 Other 3 — — -54 Return on plan assets excluding interest income 4 12 0 Fair value of plan assets, closing balance 195 189 173 1 Expected contribution from the employer in the following year is Skr 5 million (2019: Skr 6 million) excluding payroll tax. 2 Expected compensation paid in the following year is Skr 7 million (2019: Skr 9 million). 3 Regulation of pension obligations related to Venantius AB and its subsidiaries, which were liquidated in 2018. Distribution of plan assets related to defined benefit obligation Skr mn 2020 2019 2018 Domestic equity investments 4 4 3 Foreign equity investments 23 17 12 Domestic government bonds 41 49 43 Domestic corporate bonds 18 22 26 Mortgage bonds 53 49 49 Other Investments 33 25 19 Properties 23 23 21 Total plan assets 195 189 173 Principal actuarial assumptions used end of year Percent 2020 2019 2018 Discount rate 1.25 1.7 2.1 Assumption of early pension withdrawal 20.0 20.0 20.0 Expected salary increase 2.0 2.0 2.0 Expected inflation 1.8 2.0 2.0 Expected lifetime DUS14 DUS14 DUS14 Expected turnover 5.0 5.0 5.0 Sensitivity analysis of essential assumptions Negative outcome Positive outcome Skr mn 2020 2019 2018 2020 2019 2018 Discount rate -1 % -1 % -1 % +1 % +1 % +1 % Defined benefit obligation 351 324 215 202 Service cost 8 8 5 4 Interest cost 2 4 6 6 Expected lifetime +1 year +1 year +1 year -1 year -1 year -1 year Defined benefit obligation 286 266 260 242 Service cost 6 6 6 5 Interest cost 5 6 4 5 Net reconciliation of pension liabilities Skr mn 2020 2019 2018 Pension liabilities, opening balance 83 80 40 Net periodic pension cost 8 7 0 Contributions by the employer -7 -7 -7 Net pension payments -1 -1 -1 Revaluations recognized in other comprehensive income -1 4 48 Pension liabilities, closing balance 82 83 80 Net interest is calculated using the discount rate of pension obligations, based on the net surplus or net deficit in the defined benefit plan. Pension expense in 2020 for defined benefit pensions amounts to Skr 6 million (2019: Skr 8 million). As of December 31, 2020, the expected weighted average remaining service time for active employees was 13.38 years (2019: 14.89 years), the expected weighted average duration for the present value was 20.19 years (2019: 19.23 years) and the average salary for active employees was Skr 0.9 million (2019: Skr 0.9 million). Discount rate The discount rate is based on the estimated interest curve of Swedish mortgage bonds, as this market is regarded as liquid enough to be used for this purpose. The discount rate is based on market expectations at the end of the accounting period, using bonds with the same duration as the pension liability. Expected early retirement According to the transitional rule for § 8 in the BTP-plan, the calculation includes the assumption that 20 percent of the employees use the possibility for early retirement. The earliest retirement age is 61 for employees born 1956 or earlier. Employees born 1967 or later have no right to retire before age 65. Expected return on plan assets Expected return on plan assets is equal to the discount rate as regulated in IAS 19. Expected salary increase The assumption of salary increase is based on SEK’s assessment. Expected inflation The expected inflation is in line with Swedish inflation-linked bonds. Expected employee turnover Expected employee turnover is based on SEK’s assessment of the long-term expected Company staff attrition during one year. Average number of employees 2020 2019 2018 Women 123 120 117 Men 125 121 126 Total average number of employees 248 241 243 Number of employees at year-end 1 2020 2019 2018 Women 125 123 118 Men 128 121 120 Total number of employees 2 253 244 238 of which full-time employees 247 236 230 allocation of women/men 49/51 50/50 49/51 of which part-time employees 6 8 8 allocation of women/men 83/17 75/25 75/25 of which permanent employees 236 allocation of women/men 49/51 51/49 50/50 of which temporary employees 0 1 2 allocation of women/men 0/0 0/100 50/50 of which managers 31 31 29 of which non-management 209 1 Information collected from the HR-system. 2 In addition to its employees, SEK had 75 consultants (FTEs) (2019: 66 consultants) engaged at year-end 2020. Employees by age distribution 2020 2019 2018 Total number of employees 253 244 238 of which under the age of 30 years 13 12 13 of which between 30 and 50 years 122 127 127 of which over 50 years 118 105 98 Employee turnover 2020 2019 2018 Number of employees who left employment 16 30 32 of which women 8 16 12 of which men 8 14 20 of which under the age of 30 years 0 2 3 of which between 30 and 50 years 12 22 20 of which over 50 years 4 6 9 Health Percent 2020 2019 2018 Absence due to sickness 1 2.5 3.1 1 Number of hours of sickness in relation to scheduled working hours. Equality and diversity 2020 2019 2018 Allocation of women/men on the Board of Directors 62/38 62/38 62/38 Allocation of women/men in SEK’s executive management 50/50 50/50 50/50 Allocation of women/men in -management positions 48/52 42/58 41/59 Allocation of women/men at SEK in total 49/51 50/50 51/49 |
Other administrative expenses
Other administrative expenses | 12 Months Ended |
Dec. 31, 2020 | |
Other administrative expenses | |
Other administrative expenses | Note 6. Other administrative expenses Skr mn 2020 2019 2018 Travel expenses and marketing -3 -7 -7 IT and information system (fees incl.) -140 -156 -151 Other fees -38 -34 -34 Premises 1 -10 -3 -33 Other -7 -6 -6 Total other administrative expenses -198 -206 -231 1 SEK is a party to rental agreements of office space in Stockholm and Gothenburg, Sweden. Since 2019-01-01 leases of premises are accounted for according to IFRS 16, see note 8. Remuneration to auditors Skr mn 2020 2019 2018 Öhrlings PricewaterhouseCoopers AB: Audit fees 1 -9 -10 -8 Audit related fees 2 — 0 0 Tax related fees 3 — 0 0 Other fees 4 -3 -2 -2 Total -12 -12 -10 1 Fees related to audit of annual financial statements and reviews of interim financial statements. 2 Fees charged for assurance and related services that are related to the performance of audit or review of the financial statements and are not reported under Audit fees. 3 Fees for professional services rendered by the principal independent auditors for tax compliance and tax advice. 4 Fees for products and services rendered by the principal independent auditors, other than the services reported in Audit fees through Tax related fees above. In the financial statements, remuneration to auditors is mainly included in Other administrative expenses. |
Tangible and intangible assets
Tangible and intangible assets | 12 Months Ended |
Dec. 31, 2020 | |
Tangible and intangible assets | |
Tangible and intangible assets | Note 7. Tangible and intangible assets Skr mn Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Net book value Tangible assets 22 28 26 Right-of-use assets 25 50 — Intangible assets 1 98 56 43 Total net book value 145 134 69 Depreciation and impairment during the year according to the Consolidated Statement of Comprehensive Income -51 -57 -40 1 Intangible assets consist of the capitalized portion of investments in IT systems. The average useful life for intangible assets is 5 years. |
Leasing
Leasing | 12 Months Ended |
Dec. 31, 2020 | |
Leasing | |
Leasing | Note 8. Leasing SEK as lessee All leases with the exception of short-term and low-value leases, are recognized as a right-of-use asset with a corresponding lease liability. The right-of-use assets are accounted for under Tangible and intangible assets and the lease liability is accounted for under Other liabilities (see note 7 and note 19). The right-of-use assets and the lease liability relate to rental premises. For further information see note 1 Significant accounting policies. The lease term is determined as the non-callable period of a lease, together with any extension or termination option that SEK is reasonably certain to exercise. SEK has extension options which it is not reasonably certain to exercise. The potential future cash flows related to the extension options amount to Skr 77 million (2019: Skr 78 million) for a period of 3 years. Right-of-use assets Skr mn 2020 2019 Opening balance 50 94 Depreciation -27 -32 Addition/Deduction 1 2 -12 Closing balance 25 50 1 There have been cancelled and new leases. During 2019 the estimation of lease liability and right-of-use assets also has changed. Future cash flows relating to real estate tax and non-deductible value added tax are no longer included. This change means that lease liability and right-of-use assets have decreased by Skr 13 million. Accounted for in profit or loss Skr mn 2020 2019 Depreciation charge on right-of-use assets -27 -32 Interest expenses on lease liability Expenses relating to short-term leases 1 Expenses relating to low-value leases 1 -1 -1 Variable lease fees 1 -6 -1 Total amount accounted for in profit or loss -34 -34 1 Accounted for under Other administrative expenses. Lease liability Skr mn 2020 2019 Opening balance Interest expenses accrued Payments of lease liability -27 -39 Addition/Deduction 1 -12 Closing balance 1 There have been cancelled and new leases. During 2019 the estimation of lease liability and right-of-use assets also has changed. Future cash flows relating to real estate tax and non-deductible value added tax are no longer included. This change means that lease liability and right-of-use assets have decreased by Skr 13 million. Contractual flows of lease liability Skr mn 2020 2019 Within 1 year 18 26 Between 1 and 5 years 1 18 Discounting effect 0 Closing balance 19 44 The total cash outflow for leases in 2020 was Skr 34 million (2019: Skr 41 million). The following tables show disclosures for 2018 according to IAS 17. Cost of operating leases Skr mn 2018 Leases -32 The primary cost relates to SEK’s office premises. Future minimum rentals payable under non-cancellable operating leases are as follows Skr mn Dec 31, 2018 Within 1 year -32 Between 1 and 5 years -60 More than 5 years — Total future minimum rentals payable under non-cancellable operating leases -92 SEK as lessor All SEK’s leasing transactions, where SEK is the lessor, are classified as financial leases. When making such classification, all aspects regarding the leasing contract, including third party guarantees, are taken into account. A reconciliation between the gross investment in the leases and the present value of minimum lease payments receivable at the end of the reporting period can be found below. Future lease payments receivable will mature in the following periods. December 31, 2020 December 31, 2019 December 31, 2018 Present value of Present value of Present value of Gross minimum lease Gross minimum lease Gross minimum lease Skr mn investment payments investment payments investment payments Within 1 year 102 99 63 61 117 113 Between 1 and 5 years 91 81 87 78 182 156 More than 5 years 19 14 — — 8 5 Total 212 194 150 139 307 274 Unearned finance income — 17 — 14 — 33 Unguaranteed residual value — — — — — — The leases are included in the line item “Loans to the public” in the Statement of Financial Position. |
Impairments
Impairments | 12 Months Ended |
Dec. 31, 2020 | |
Impairments | |
Impairments | Note 9. Impairments Skr mn 2020 2019 2018 Expected credit losses, stage 1 -98 -19 6 Expected credit losses, stage 2 -48 11 14 Expected credit losses, stage 3 -7 -17 -13 Established credit losses -20 -25 — Reserves applied to cover established credit losses 20 40 — Recovered credit losses — — 0 Net credit losses -153 -10 7 The table below shows the book value of loans and nominal amounts for off-balance sheet exposures before expected credit losses for each stage as well as related loss allowance amounts, in order to place expected credit losses in relation to credit exposures. Overall, the credit portfolio has an extremely high credit quality and SEK often uses risk mitigation measures, primarily through guarantees from the Swedish Export Credit Agency (EKN) and other government export credit agencies in the Organisation for Economic Co-operation and Development (OECD), which explains the low provision ratio. December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Loans, before expected credit losses Loans in the form of interest-bearing securities 47,095 3,719 — 50,814 40,909 2,735 — 43,644 Loans to credit institutions 8,834 509 — 9,343 9,578 541 — 10,119 Loans to the public 142,179 28,109 1,482 171,770 132,313 30,326 1,316 163,955 Total loans, before expected credit losses 198,108 32,337 1,482 231,927 182,800 33,602 1,316 217,718 Off balance, before expected credit losses Guarantees 2,463 1,506 — 3,969 3,232 1,161 — 4,393 Committed undisbursed loans 25,893 32,642 — 58,535 28,083 26,856 11 54,950 Total, before expected credit losses 226,464 66,485 1,482 294,431 214,115 61,619 1,327 277,061 of which guaranteed 59.5 % 84.6 % 97.6 % 63.2 % 56.4 % 92.1 % 95.4 % 62.2 % Loss allowance, loans Loans in the form of interest-bearing securities -20 -13 — -33 -14 -2 — -16 Loans to credit institutions -6 0 — -6 -1 0 — -1 Loans to the public -113 -42 -46 -201 -36 -7 -64 -107 Total loss allowance, loans -139 -55 -46 -240 -51 -9 -64 -124 Loss allowance, off balance 1 Guarantees 0 0 — — 0 0 0 0 Committed undisbursed loans -8 -1 — -9 -3 -1 — -4 Total, loss allowance -147 -56 -46 -249 -54 -10 -64 -128 Provision ratio 0.06 % 0.08 % 3.10 % 0.08 % 0.03 % 0.02 % 4.82 % 0.05 % 1 Recognized under provision in Consolidated Statement of Financial Position. Loans and off balance, before loss allowance December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Opening balance 214,115 61,619 1,327 277,061 202,583 60,678 1,425 264,686 Increase due to origination and acquisition 134,041 25,944 815 160,800 73,812 5,633 113 79,558 Transfer to stage 1 683 -872 — -189 13 -16 — -3 Transfer to stage 2 -8,391 7,422 -159 -1,128 -6,752 6,281 — -471 Transfer to stage 3 — -42 34 -8 -97 -199 286 -10 Decrease due to derecognition -113,984 -27,586 -535 -142,105 -55,444 -10,758 -497 -66,699 Closing balance 226,464 66,485 1,482 294,431 214,115 61,619 1,327 277,061 Loss allowance December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Opening balance -54 -10 -64 -128 -34 -21 -84 -139 Increases due to origination and acquisition -84 0 — -84 -22 -1 0 -23 Net remeasurement of loss allowance -23 -48 2 -69 -4 7 7 10 Transfer to stage 1 0 0 — — 0 0 — 0 Transfer to stage 2 1 -1 0 — 0 0 — 0 Transfer to stage 3 — 1 -10 -9 0 2 -24 -22 Decreases due to derecognition 8 0 0 8 6 4 — 10 Decrease in allowance account due to write-offs — — 20 20 — — 40 40 Exchange-rate differences 1 5 2 6 13 0 -1 -3 -4 Closing balance -147 -56 -46 -249 -54 -10 -64 -128 1 Recognized under Net results of financial transactions in the Statement of Comprehensive Income. Provisions for expected credit losses (ECLs) are calculated using quantitative models based on inputs, assumptions and methods that are highly reliant on assessments. In particular, the following could heavily impact the level of provisions: the establishment of a material increase in credit risk, allowing for forward-looking macroeconomic scenarios, and the measurement of both ECLs over the next 12 months and lifetime ECLs. ECLs are based on objective assessments of what SEK expects to lose on the exposures given what was known on the reporting date and taking into account possible future events. The ECL is a probability-weighted amount that is determined by evaluating the outcome of several possible scenarios and where the data taken into consideration comprises information from previous conditions, current conditions and projections of future economic conditions. SEK's method entails three scenarios being prepared for each probability of default curve: (i) a base scenario, (ii) a downturn scenario and (iii) an upturn scenario. The base scenario consists of GDP forecasts from the World Bank. When calculating the ECL as of December 31, 2020 the latest available forecast was the World Bank's forecast from June 2020. The base scenario has been weighted at between 72 and 78 percent, and the downturn and upturn scenarios weighted equally at between 11 and 14 percent. SEK's IFRS 9 model is based on GDP growth projections estimating the impact on the probability of default. SEK's management believes that the strong positive GDP growth projections for 2021 may understate the probability of default of the asset portfolio, as they do not take into account the sharp fall in GDP during the second quarter. In the fourth quarter, SEK made an overall adjustment to increase expected credit losses, which was calculated pursuant to SEK's IFRS 9 model as of December 31, 2020. SEK has conducted an extensive assessment of material increases in credit risk due to the COVID-19 pandemic. SEK's assessment is that the company's method is still applicable for assessing whether a material increase in credit risk has occurred. SEK has noted an increase in credits moving from stage 1 to stage 2, which was mainly attributable to an increase in forbearance agreements due to the COVID-19 pandemic and decreased ratings. The movements from stage 1 to stage 2 have not had any material impact on expected credit losses. Loan credit quality, before expected credit losses, allocated by stage December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total AAA 37 — — 37 546 — — 546 AA+ to A- 29,261 — — 29,261 31,421 — — 31,421 BBB+ to BBB- 130,068 1,166 — 131,234 116,040 1,147 — 117,187 BB+ to BB- 32,281 23,201 — 55,482 23,378 20,381 — 43,759 B+ to B- 5,998 7,053 — 13,051 11,411 11,894 — 23,305 CCC to D 463 917 1,482 2,862 4 180 1,316 1,500 Total, before expected credit losses 198,108 32,337 1,482 231,927 182,800 33,602 1,316 217,718 More information regarding SEK’s Credit Policy is found in note 26 and in the Risk and capital management section. |
Taxes
Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Taxes | |
Taxes | Note 10. Taxes Skr mn 2020 2019 2018 Income tax Adjustment previous year -4 2 -1 Current tax -266 -570 -448 Deferred tax 0 291 245 Total income tax -270 -277 -204 Income tax related to other comprehensive income Tax on items to be reclassified to profit or loss Current tax — 2 6 Deferred tax — — — Tax on items not to be reclassified to profit or loss Current tax -1 -5 -82 Deferred tax -4 1 10 Income tax related to other comprehensive income -5 -2 -66 Reconciliation of effective tax rate The Swedish corporate tax rate (percent) 21.4 21.4 22.0 Profit before taxes 1,238 1,304 852 National tax based on profit before taxes -265 -279 -187 Tax effects of: Non-taxable income 0 9 0 Non-deductible expenses -1 -16 -14 Imputed interest on tax allocation reserve — -1 -2 Tax effect of dissolution of untaxed reserves due to changed tax rate — 8 — Other -4 2 -1 Total tax -270 -277 -204 Effective tax expense (percent) 21.8 21.2 24.0 Deferred taxes Skr mn 2020 2019 Deferred tax assets concerning: Temporary differences, related to -pensions 15 16 Other temporary differences — — Total deferred tax assets 15 16 Deferred tax liabilities concerning: Untaxed reserves — — Total deferred tax liabilities — — Net deferred tax liabilities (-) / tax assets (+) 15 16 No deductible loss carry forwards existed as of December 31, 2020, or December 31, 2019. Change in deferred taxes Skr mn 2020 2019 Opening balance 16 -276 Change through profit or loss 0 291 Change in other comprehensive income -1 1 Closing balance 15 16 In June 2018, the Swedish Parliament introduced, among other things, reduced corporate tax and general interest deduction restrictions. The new rules came into force on January 1, 2019. The corporate tax is reduced in two stages – first to 21.4 percent (from January 1, 2019) and later to 20.6 percent (from January 1, 2021). The change has not had any significant impact on SEK’s deferred taxes. In the financial statements of the Consolidated Group, the untaxed reserves of the Group companies are allocated 78 percent to equity and 22 percent to deferred taxes included as deferred tax liabilities in the statement of financial position. Changes in the amounts reported as deferred taxes are included in taxes on net profit in the Statement of Comprehensive Income. The entire untaxed reserve was dissolved in 2019. |
Loans and liquidity investments
Loans and liquidity investments | 12 Months Ended |
Dec. 31, 2020 | |
Loans and liquidity investments. | |
Loans and liquidity investments | Note 11. Loans and liquidity investments Dec 31, Dec 31, Skr mn 2020 2019 Loans: Loans in the form of interest-bearing securities 50,780 43,627 Loans to credit institutions 31,315 27,010 Loans to the public 171,562 163,848 Less: Cash collateral under the security agreements for derivative contracts -21,979 -16,891 Total loans 231,678 217,594 Liquidity investments: Cash and cash equivalents 3,362 1,362 Cash collateral under the security agreements for derivative contracts 1 — Treasuries/government bonds 22,266 8,344 Other interest-bearing securities except loans 33,551 53,906 Total liquidity investments 59,179 63,612 of which issued by public authorities 25,262 13,452 Difference between book value amount and amount contractually required to be paid at maturity for interest-bearing securities not carried at fair value Skr mn 2020 2019 Sum of amounts exceeding nominal 148 350 Sum of amounts falling below nominal -10 -39 Volume Development, Lending of which the CIRR-system Skr mn 2020 2019 2020 2019 Offers of long-term loans accepted 125,470 74,515 18,350 15,500 Undisbursed loans at year-end 57,213 52,150 51,463 47,868 Loans outstanding at year-end 1 231,678 217,594 69,163 76,120 1 Including concessionary loans in the amount of Skr 382 million (year-end 2019: Skr 547 million). Outstanding loans as per business area of which the CIRR-system December 31, December 31, December 31, December 31, Skr mn 2020 2019 2020 2019 Lending to Swedish exporters 120,050 96,429 — — Lending to exporters’ customers 111,628 121,165 69,163 76,120 Total lending 1 231,678 217,594 69,163 76,120 1 Includ ing concessionary loans in the amount of Skr 382 million (year-end 2019: Skr 547 million). |
Classification of financial ass
Classification of financial assets and liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Classification of financial assets and liabilities | |
Classification of financial assets and liabilities | Note 12. Classification of financial assets and liabilities Financial assets by accounting category December 31, 2020 Financial assets at fair value through profit or loss Derivatives used for hedge Skr mn Mandatorily accounting Amortized cost Total Cash and cash equivalents — — 3,362 3,362 Treasuries/government bonds 22,266 — — 22,266 Other interest-bearing securities except loans 33,551 — — 33,551 Loans in the form of interest-bearing securities — — 50,780 50,780 Loans to credit institutions — — 31,315 31,315 Loans to the public — — 171,562 171,562 Derivatives 4,248 3,315 — 7,563 Total financial assets 60,065 3,315 257,019 320,399 December 31, 2019 Financial assets at fair value through profit or loss Derivatives used for hedge Skr mn Mandatorily accounting Amortized cost Total Cash and cash equivalents — — 1,362 1,362 Treasuries/government bonds 8,344 — — 8,344 Other interest-bearing securities except loans 53,906 — — 53,906 Loans in the form of interest-bearing securities — — 43,627 43,627 Loans to credit institutions — — 27,010 27,010 Loans to the public — — 163,848 163,848 Derivatives 4,380 2,588 — 6,968 Total financial assets 66,630 2,588 235,847 305,065 Financial liabilities by accounting category December 31, 2020 Financial liabilities at fair value through profit or loss Designated upon Derivatives initial used for recognition hedge Skr mn Mandatorily (FVO) accounting Amortized cost Total Borrowing from credit institutions — — — 3,486 3,486 Borrowing from the public — — — 10,000 10,000 Debt securities issued — 47,388 — 226,588 273,976 Derivatives 24,921 — 474 — 25,395 Total financial liabilities 24,921 47,388 474 240,074 312,857 December 31, 2019 Financial liabilities at fair value through profit or loss Designated upon Derivatives initial used for recognition hedge Skr mn Mandatorily (FVO) accounting Amortized cost Total Borrowing from credit institutions — — — 3,678 3,678 Borrowing from the public — — — — — Debt securities issued — 56,705 — 212,634 269,339 Derivatives 16,954 — 3,102 — 20,056 Total financial liabilities 16,954 56,705 3,102 216,312 293,073 |
Financial assets and liabilitie
Financial assets and liabilities at fair value | 12 Months Ended |
Dec. 31, 2020 | |
Financial assets and liabilities at fair value | |
Financial assets and liabilities at fair value | Note 13. Financial assets and liabilities at fair value December 31, 2020 Surplus value (+) Skr mn Book value Fair value /Deficit value (-) Cash and cash equivalents 3,362 3,362 — Treasuries/governments bonds 22,266 22,266 — Other interest-bearing securities except loans 33,551 33,551 — Loans in the form of interest-bearing securities 50,780 52,091 1,311 Loans to credit institutions 31,315 31,424 109 Loans to the public 171,562 180,453 8,891 Derivatives 7,563 7,563 — Total financial assets 320,399 330,710 10,311 Borrowing from credit institutions 3,486 3,486 — Borrowing from the public 10,000 10,000 — Debt securities issued 273,976 274,552 576 Derivatives 25,395 25,395 — Total financial liabilities 312,857 313,433 576 December 31, 2019 Surplus value (+) Skr mn Book value Fair value /Deficit value (-) Cash and cash equivalents 1,362 1,362 — Treasuries/governments bonds 8,344 8,344 — Other interest-bearing securities except loans 53,906 53,906 — Loans in the form of interest-bearing securities 43,627 45,054 1,427 Loans to credit institutions 27,010 27,133 123 Loans to the public 163,848 169,612 5,764 Derivatives 6,968 6,968 — Total financial assets 305,065 312,379 7,314 Borrowing from credit institutions 3,678 3,678 — Debt securities issued 269,339 271,549 2,210 Derivatives 20,056 20,056 — Total financial liabilities 293,073 295,283 2,210 The majority of financial liabilities and some of the financial assets in the Statement of Financial Position are accounted for at full fair value or at a value that represents fair value for the components hedged in a hedging relationship. Lending and borrowing not classified as hedge accounting or FVO are accounted for at amortized cost. Determining fair value of financial instruments The best evidence of fair value is quoted prices in an active market. The majority of SEK’s financial instruments are not publicly traded, and quoted market values are not readily available. Fair value measurements are categorized using a fair value hierarchy. The financial instruments have been categorized under the three levels of the IFRS fair value hierarchy that reflects the significance of inputs. The categorization of these instruments is based on the lowest level of input that is significant to the fair value measurement in its entirety. SEK uses the following hierarchy for determining and disclosing the fair value of financial instruments based on valuation techniques: Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities; Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly; and Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data. For more information on determining the fair value of financial transactions, see note 1. In the process of estimating or deriving fair values for items accounted for at amortized cost, certain assumptions have been made. In those cases where quoted market values for the relevant items are available, such market values have been used. The tables below show the fair values of the items carried at amortized cost or fair value. They are distributed according to the fair value hierarchy. Financial assets reported at amortized cost in fair value hierarchy December 31, 2020 Loans and accounts receivable Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Cash and cash equivalents 3,362 — — 3,362 3,362 Loans in the form of interest-bearing securities 306 51,785 — 52,091 50,780 Loans to credit institutions — 31,424 — 31,424 31,315 Loans to the public — 180,453 — 180,453 171,562 Total financial assets in fair value hierarchy 3,668 263,662 — 267,330 257,019 December 31, 2019 Loans and accounts receivable Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Cash and cash equivalents 1,362 — — 1,362 1,362 Loans in the form of interest-bearing securities 321 44,733 — 45,054 43,627 Loans to credit institutions — 27,133 — 27,133 27,010 Loans to the public — 169,584 — 169,584 163,848 Total financial assets in fair value hierarchy 1,683 241,450 — 243,133 235,847 Financial liabilities reported at amortized cost in fair value hierarchy December 31, 2020 Other financial liabilities Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Borrowing from credit institutions — 3,486 — 3,486 3,486 Borrowing from the public — 10,000 — 10,000 10,000 Debt securities issued — 227,164 — 227,164 226,588 Total financial liabilities in fair value hierarchy — 240,650 — 240,650 240,074 December 31, 2019 Other financial liabilities Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Borrowing from credit institutions — 3,669 — 3,669 3,678 Borrowing from the public — — — — — Debt securities issued — 213,654 — 213,654 212,634 Total financial liabilities in fair value hierarchy — 217,323 — 217,323 216,312 Financial assets reported at fair value in fair value hierarchy December 31, 2020 Financial assets at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Treasuries/governments bonds 14,169 8,097 — 22,266 Other interest-bearing securities except loans 19,413 14,138 — 33,551 Derivatives — 5,985 1,578 7,563 Total financial assets in fair value hierarchy 33,582 28,220 1,578 63,380 December 31, 2019 Financial assets at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Treasuries/governments bonds 7,041 1,303 — 8,344 Other interest-bearing securities except loans 27,409 26,497 — 53,906 Derivatives — 4,483 2,485 6,968 Total financial assets in fair value hierarchy 34,450 32,283 2,485 69,218 Financial liabilities reported at fair value in fair value hierarchy December 31, 2020 Financial liabilities at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Debt securities issued — 6,190 41,198 47,388 Derivatives — 23,554 1,841 25,395 Total financial liabilities in fair value hierarchy — 29,744 43,039 72,783 December 31, 2019 Financial liabilities at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Debt securities issued — 12,953 43,752 56,705 Derivatives — 17,593 2,463 20,056 Total financial liabilities in fair value hierarchy — 30,546 46,215 76,761 For the liquidity portfolio, the closing levels are the same as the opening levels (year-end 2019: transfer from level 2 to level 1 of Skr 21,461 million). Due to an increased element of subjective assessment of the input in the valuation , a transfer of Skr -10,649 million for debt securities issued was made from level 2 to level 3. A transfer from level 3 to level 2 of Skr 6,534 million for debt securities issued and a transfer. from level 3 to level 2 of net Skr -1,259 million for derivatives was made since these instruments are not significantly affected by nonobservable market data (year-end 2019: transfer from level 3 to level 2 of Skr 1,040 million for debt securities issued and transfer from level 3 to level 2 of net Skr -30 million for derivatives). Financial assets and liabilities at fair value in Level 3 December 31, 2020 Gains (+) and Gains (+) and losses (-) losses (-) Cur. Jan 1, Settlements Transfers to Transfers through profit or through other exchange- rate Dec 31, Skr mn 2020 Purchases & sales Level 3 from Level 3 loss 1 comprehensive income effects 2020 Debt securities issued -43,752 -10,584 16,285 -10,649 6,534 -1,345 44 2,269 -41,198 Derivatives, net 22 7 -400 — -1,259 -1,597 — 2,964 -263 Net assets and liabilities -43,730 -10,577 15,885 -10,649 5,275 -2,942 44 5,233 -41,461 Financial assets and liabilities at fair value in Level 3 December 31, 2019 Gains (+) and Gains (+) and losses (-) losses (-) Cur. Jan 1, Settlements Transfers to Transfers through profit or through other exchange- rate Dec 31, Skr mn 2019 Purchases & sales Level 3 from Level 3 loss 1 comprehensive income effects 2019 Debt securities issued -47,898 -10,702 21,314 — 1,040 -3,408 -43 -4,055 -43,752 Derivatives, net -4,587 -5 -299 1 -31 3,181 — 1,762 22 Net assets and liabilities -52,485 -10,707 21,015 1 1,009 -227 -43 -2,293 -43,730 1 Gains and losses through profit or loss, including the impact of exchange-rates, are reported as net interest income and net results of financial transactions. The unrealized fair value changes for assets and liabilities, including the impact of exchange rates, held as of December 31, 2020, amounted to a Skr 36 million gain (year-end 2019: Skr 69 million loss) and are reported as net results of financial transaction. Uncertainty of valuation of Level 3-instruments As the estimation of parameters included in the models used to calculate the market value of Level 3 instruments is associated with subjectivity and uncertainty, SEK has conducted an analysis of the difference in fair value of Level 3 instruments using other established parameter values. Option models and discounted cash flows are used to value the Level 3 instruments. For the Level 3 instruments that are significantly affected by different types of correlations, which are not based on observable market data, a revaluation has been made by shifting the correlations. The correlation is expressed as a value between 1 and -1, where 0 indicates no relationship, 1 indicates a maximum positive relationship and -1 indicates a maximum negative relationship. The maximum correlation in the range of unobservable inputs can thus be from 1 to –1. In the analysis, the correlations have been adjusted by +/-0.12, which represents the level SEK uses within its prudent valuation framework. For Level 3 instruments that are significantly affected by non-observable market data in the form of SEK’s own creditworthiness, a revaluation has been made by shifting the credit curve. The revaluation is made by shift in the credit spreads by +/‑10 basis points, which has been assessed as a reasonable change in SEK’s credit spread. The analysis shows the impact of the non-observable market data on the market value. In addition, the market value will be affected by observable market data. The result of the analysis corresponds with SEK's business model where issued securities are linked with a matched hedging derivative. The underlying market data is used to evaluate the issued security as well as to evaluate the fair value in the derivative. This means that a change in fair value of the issued security, excluding SEK's own credit spread, is offset by an equally large change in fair value in the derivative. Sensitivity analysis - level 3 December 31, 2020 Assets and liabilities Unobservable Range of estimates for Skr mn Fair Value 1 input unobservable input 2 Valuation method Sensitivity Max Sensitivity Min Equity -144 Correlation 0.12-(0.12) Option Model -6 6 Interest rate 4 Correlation 0.12-(0.12) Option Model 0 0 FX 9 Correlation 0.12-(0.12) Option Model -53 53 Other -132 Correlation 0.12-(0.12) Option Model 0 0 Sum derivatives,net -263 -59 59 Equity -14,836 Correlation 0.12-(0.12) Option Model 6 -6 Credit spreads 10BP - (10BP) Discounted cash flow 8 -8 Interest rate -13,181 Correlation 0.12-(0.12) Option Model 0 0 Credit spreads 10BP - (10BP) Discounted cash flow 65 -65 FX -13,070 Correlation 0.12-(0.12) Option Model 53 -53 Credit spreads 10BP - (10BP) Discounted cash flow 63 -63 Other -111 Correlation 0.12-(0.12) Option Model 0 0 Credit spreads 10BP - (10BP) Discounted cash flow 1 -1 Sum debt securities issued -41,198 196 -196 Total effect on total comprehensive income 3 137 -137 Sensitivity analysis - level 3 December 31, 2019 Assets and liabilities Unobservable Range of estimates for Skr mn Fair Value 1 input unobservable input 2 Valuation method Sensitivity Max Sensitivity Min Equity -345 Correlation 0.73-0.02 Option Model 1 -1 Interest rate 1,249 Correlation 0.16-(0.08) Option Model -64 63 FX -711 Correlation 0.80-0.10 Option Model 19 -16 Other -171 Correlation 0.53-(0.03) Option Model 0 0 Sum derivatives,net 22 -44 46 Equity -524 Correlation 0.73-0.02 Option Model -1 1 Credit spreads 10BP - (10BP) Discounted cash flow 14 -14 Interest rate -43,083 Correlation 0.16-(0.08) Option Model 65 -64 Credit spreads 10BP - (10BP) Discounted cash flow 70 -68 FX -39 Correlation 0.80-0.10 Option Model -20 17 Credit spreads 10BP - (10BP) Discounted cash flow 88 -87 Other -106 Correlation 0.53-(0.03) Option Model 0 0 Credit spreads 10BP - (10BP) Discounted cash flow 3 -3 Sum debt securities issued -43,752 219 -218 Total effect on total comprehensive income 3 175 -172 1 As per June 30, 2020, SEK has improved its methods to categorize derivatives and issued debt securities. 2 The sensitivity analysis shows the effect that a shift in correlations or SEK’s own credit spread has on Level 3 instruments. The table presents maximum positive and negative change in fair value when correlations or SEK’s own credit spread is shifted by +/– 0.12 and +/- 10 basis points, respectively. 3 When determining the total maximum/minimum effect on total comprehensive income the most adverse/favorable shift is chosen, considering the net exposure arising from the issued securities and the derivatives, for each correlation. The resulting effect related to correlation sensitivity is Skr +/- 0 million . The impact from SEK’s own credit spread amounts to Skr 137 million (year-end 2019: Skr 174 million) under a maximum scenario and Skr -137 million (year-end 2019: Skr -173 million) under a minimum scenario. Fair value related to credit risk Fair value originating from credit risk The period's change in fair value origination (- liabilities increase/ + liabilities decrease) from credit risk (+income/ - loss) Skr mn December 31, 2020 December 31, 2019 2020 2019 CVA/DVA, net 1 -17 -12 -5 17 OCA 2 -108 -126 18 24 1 Credit value adjustment (CVA) and Debt value adjustment (DVA) reflects how the counterparties’ credit risk as well as SEK’s own credit rating affects the fair value of derivatives. 2 Own credit adjustment (OCA) reflects how the changes in SEK’s credit rating affects the fair value of financial liabilities measured at fair value through profit and loss. |
Derivatives and hedge accountin
Derivatives and hedge accounting | 12 Months Ended |
Dec. 31, 2020 | |
Derivatives and hedge accounting | |
Derivatives and hedge accounting | Note 14. Derivatives and hedge accounting Derivatives by categories December 31, 2020 December 31, 2019 Assets Liabilities Nominal Assets Liabilities Nominal Skr mn Fair value Fair value amounts Fair value Fair value amounts Interest rate-related contracts 323,664 3,998 12,367 304,242 Currency-related contracts 153,838 2,734 6,933 182,668 Equity-related contracts 15,598 236 584 16,387 Contracts related to commodities, credit risk, etc. 7,513 — 172 1,997 Total derivatives 500,613 6,968 20,056 505,294 of which derivatives used for economic hedges, December 31, 2020 December 31, 2019 accounted for as held-for-trading under IFRS 9 Assets Liabilities Nominal Assets Liabilities Nominal Skr mn Fair value Fair value amounts Fair value Fair value amounts Interest rate-related contracts 2,357 12,226 132,228 2,568 11,455 140,829 Currency-related contracts 1,423 10,310 132,029 1,544 4,708 153,707 Equity-related contracts 457 620 15,598 236 584 16,387 Contracts related to commodities, credit risk, etc. 11 1,765 7,513 0 172 1,997 Total derivatives 4,248 24,921 287,368 4,348 16,919 312,920 December 31, 2020 December 31, 2019 of which derivatives in fair-value hedges Assets Liabilities Nominal Assets Liabilities Nominal Skr mn Fair value Fair value amounts Fair value Fair value amounts Interest rate-related contracts 1,489 -453 191,435 1,430 912 163,413 Currency-related contracts 1,826 927 21,810 1,190 2,225 28,961 Total derivatives 3,315 474 213,245 2,620 3,137 192,374 1 The nominal amount of the instruments directly affected by the IBOR reform amounts to Skr 81,581 million (year-end 2019: Skr 87,915 million). Maturity analysis of the nominal amounts 1 of hedging instruments December 31, 2020 1 month 3 months 1 year Skr mn < 1 month < 3 months < 1 year < 5 years > 5 years Interest rate-related contracts Hedge of fixed rate assets 4 17 146 7,042 11,089 Hedge of fixed rate liabilities — 9,809 34,739 126,023 2,607 Currency-related contracts Hedge of fixed rate assets 41 61 427 3,240 633 Hedge of fixed rate liabilities — 425 1,920 11,066 4,491 December 31, 2019 1 month 3 months 1 year Skr mn < 1 month < 3 months < 1 year < 5 years > 5 years Interest rate-related contracts Hedge of fixed rate assets 116 225 2,254 4,960 9,296 Hedge of fixed rate liabilities — — 38,724 103,823 3,776 Currency-related contracts Hedge of fixed rate assets 6 26 2,030 Hedge of fixed rate liabilities — 421 7,920 12,876 4,882 1 Nominal amounts before off-set. The carrying amount of hedged items in fair value hedge relationships, and the accumulated amount of fair value hedge adjustments included in these carrying amounts December 31, 2020 December 31, 2019 Assets Fair -value hedge Fair -value hedge Skr mn Book value adjustments Book value adjustments Loans in the form of interest-bearing securities 6,716 547 Loans to credit institutions 332 5 Loans to the public 13,032 1,044 14,353 930 Total 23,779 1,646 21,401 1,482 December 31, 2020 December 31, 2019 Liabilities Fair -value hedge Fair -value hedge Skr mn Book value adjustments Book value adjustments Debt securities issued 174,477 4,102 Total 174,477 4,102 For disclosure on hedge ineffectiveness see Note 4 Net results of financial transactions. Cash flow hedges reclassified to profit or loss during the year Skr mn 2020 2019 Interest income — 8 Interest expense — — Total 1 — 8 1 Relates to previously terminated cash flow hedges where comprehensive income is allocated over the previously hedged item’s remaining -maturity. It is SEK’s risk management strategy and objective to identify its material foreign currency and interest rate exposures and to manage those exposures with appropriate derivative instruments or non-derivative alternatives. SEK has the intention to, as much as possible, achieve fair value hedge accounting for transactions entered into for economic hedging purposes. SEK primarily sets interest rate terms based on the various needs and preferences of customers and counterparties. Consequently, assets and liabilities can to some extent have different fixed interest periods, which leads to interest rate risk. Using different derivatives, the original interest rate risk in assets and liabilities are normally transformed from fixed to floating interest terms in currencies with well-functioning markets. EUR, USD and Skr are preferably used. It is SEK’s objective to mitigate the risk of changes in fair value of the underlying hedged item due to changes in benchmark interest rates, i.e., to convert a fixed interest rate in a financial asset or liability into a floating rate. For that SEK uses interest rate swaps, or a proportion of interest rate swaps, swapping fixed to floating interest rates. SEK’s granting of credits and a large portion of its borrowing can take place in the currency of the borrower’s and investor’s choice. It is therefore seldom that borrowing and lending are made in the same currency and therefore directly balance each other. Differences in exposures to individual currencies that exist between different transactions are fully matched with the aid of various derivatives, primarily currency swaps. It is SEK’s objective to mitigate the risk of changes in fair value due to changes in FX- and interest rates. For example, converting a fixed interest rate in a financial asset or liability into a variable rate financial asset or liability denominated in SEK’s functional currency Skr. For that, SEK uses cross currency interest rate swap or a proportion of these swaps, swapping fixed to floating interest rates in Skr. Since the 2010s, there is an ongoing reform to replace or amend benchmark interest rates such as LIBOR and other interbank offered rates (“IBOR”). SEK's exposure that is directly affected by the reference interest rate reform is primarily its lending contracts with floating interest rates, its lending and borrowing contracts at fixed interest rates that are hedged to floating interest rates as well as currency swaps to floating interest rates. The main floating interest rate exposures relate to USD LIBOR, STIBOR and EURIBOR.GBP LIBOR , CHF LIBOR and JPY LIBOR are not expected to be offered after 2021-12-31. For USD LIBOR, the most common maturities are expected to no longer be offered after 2023-06-30.For EURIBOR and STIBOR, no such end date has been communicated,but the general opinion is that these will continue to exist in the next few years. SEK currently has financial contracts referencing USD LIBOR, EURIBOR and STIBOR which extend beyond June 2023.SEK has been working since 2018 to prepare the company for the reference interest rate reform.The work is conducted in project form and includes changes in systems, processes, agreements, pricing and risk models . SEK continues to monitor the development of new market standards and relevant interest groups to ensure an orderly transition to the new reference rates. In applying the amendments to IFRS 9, SEK has made the assumption in assessing the financial relationship between hedged items and hedging instruments that no fallback clauses will be triggered by the reference interest rate reform. For more disclosures regarding SEK’s hedge accounting, see the section Risk and Capital Management, Consolidated Statement of Changes in Equity, note 1 Significant accounting policies, and note 4 Net results of financial transactions . In accordance with SEK’s policies with regard to counterparty, interest rate, currency exchange-rate, and other exposures, SEK uses, and is a party to, different kinds of derivative instruments, mostly various interest rate-related and currency exchange-rate-related contracts. These contracts are carried at fair value in the statements of financial position on a contract-by-contract basis. SEK uses derivatives to hedge risk exposure inherent in financial assets and liabilities. Derivatives are measured at fair value by using market quoted rates where available. If market quotes are not available, valuation models are used. SEK uses models to adjust the net exposure fair value for changes in counter-parties’ credit quality. The models used include both directly observable and non-observable market parameters. The majority of SEK’s derivative contracts are what are known as OTC (over the counter) derivatives, i.e., derivative contracts that are not transacted on an exchange. SEK’s derivative transactions that are not transacted on an exchange are entered into under ISDA Master Netting Agreements. In general, under such agreements the amounts owed by each counterparty in respect of all transactions outstanding in the same currency under the agreement are aggregated into a single net amount payable by one party to the other. In certain circumstances, for example when a credit event such as a default occurs and all outstanding transactions under the agreement are terminated, the termination value is assessed and only a single net amount is due or payable in settlement of all transactions. SEK endeavors to only enter into derivatives transactions with counterparties in jurisdictions where such netting is enforceable when such events occur. The above ISDA arrangements do not meet the criteria for offsetting in the Statement of Financial Position. This is because such agreements create a right of set-off of recognized amounts that is enforceable only following an event of default, insolvency or bankruptcy of SEK or the counterparties. In addition, SEK and its counterparties do not intend to settle on a net basis or to realize the assets and settle the liabilities simultaneously. The ISDA Master Netting Agreements are complemented by supplementary agreements providing for the collateralization of counterparty exposure. SEK receives and accepts collateral in the form of cash. Such collateral is subject to the standard industry terms of an ISDA Credit Support Annex (CSA). The disclosures set out in the tables below include financial assets and financial liabilities that are subject to an enforceable master netting arrangement or similar agreement that cover similar financial instruments. SEK only enters into derivative transactions that are subject to enforceable master netting agreements or similar agreements. Derivative assets and derivative liabilities in relation to central clearing counterparties are offset in the Statement of Financial Position. Financial assets subject to offsetting, enforceable master netting arrangements and similar agreements Dec 31, 2020 Dec 31, 2019 Skr mn Derivatives Derivatives Gross amounts of recognized financial assets 7,948 Amounts offset in the Statement of Financial Position -2,349 -980 Net amounts of financial assets -presented in the Statement of -Financial Position 6,968 Amounts subject to an enforceable master netting arrangement or -similar agreement not offset in the Statement of Financial Position related to: Financial instruments -2,354 -3,799 Cash collateral received -2,502 -2,352 Net amount 817 Financial liabilities subject to offsetting, enforceable master netting arrangements and similar agreements Dec 31, 2020 Dec 31, 2019 Skr mn Derivatives Derivatives Gross amounts of recognized financial liabilities 21,036 Amounts offset in the Statement of Financial Position -2,349 -980 Net amounts of financial liabilities presented in the Statement of Financial Position 20,056 Amounts subject to an enforceable master netting arrangement or -similar agreement not offset in the Statement of Financial Position related to: Financial instruments -2,354 -3,799 Cash collateral paid -20,172 -15,871 Net amount 386 |
Shares
Shares | 12 Months Ended |
Dec. 31, 2020 | |
Shares | |
Shares | Note 15. Shares Since March 2018 SEKETT AB is a wholly owned, non-active, subsidiary to AB Svensk Exportkredit with a share capital of Skr 50 thousand. Shares in subsidaries December 31, 2020 December 31, 2019 Skr mn Book value Number of shares Book value Number of shares SEKETT AB (reg. no 559132-9668) 0 50 0 50 |
Other assets
Other assets | 12 Months Ended |
Dec. 31, 2020 | |
Other assets. | |
Other assets | Note 16. Other assets Skr mn Dec 31, 2020 Dec 31, 2019 Claim against the State for CIRR loans and concessionary loans 12,359 9,124 Cash receivables, funding operations 465 181 Other 29 29 Total 12,853 9,334 |
Prepaid expenses and accrued re
Prepaid expenses and accrued revenues | 12 Months Ended |
Dec. 31, 2020 | |
Prepaid expenses and accrued revenues | |
Prepaid expenses and accrued revenues | Note 17. Prepaid expenses and accrued revenues Skr mn Dec 31, 2020 Dec 31, 2019 Interest income accrued 1,958 2,747 Prepaid expenses and other accrued revenues 29 0 Total 1,987 2,747 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt | |
Debt | Note 18. Debt December 31, 2020 Total debt excluding debt Total debt- Skr mn securities issued securities issued Total Exchange-rate related contracts — 19,207 19,207 Interest rate related contracts 13,486 254,377 267,863 Equity related contracts — 281 281 Contracts related to raw materials, credit risk etc — 111 111 Total debt outstanding 13,486 273,976 287,462 of which denominated in: Skr 16,547 USD 202,787 JPY 27,812 EUR 19,994 Other currencies 20,322 287,462 December 31, 2019 Total debt excluding debt Total debt- Skr mn securities issued securities issued Total Exchange-rate related contracts — 28,215 28,215 Interest rate related contracts 3,678 240,389 244,067 Equity related contracts — 629 629 Contracts related to raw materials, credit risk etc — 106 106 Total debt outstanding 3,678 269,339 273,017 of which denominated in: Skr 2,737 USD 186,021 JPY 32,509 EUR 19,813 Other currencies 31,937 SEK’s Borrowing programs Value outstanding 1 Skr mn December 31, 2020 December 31, 2019 Medium-term note program: Unlimited Euro Medium-Term Note Programme 96,724 96,930 Unlimited SEC-registered U.S. Medium-Term Note Programme 160,945 151,750 Unlimited Swedish Medium-Term Note Programme 438 424 Unlimited MTN/STN AUD Debt Issuance Programme 4,544 4,598 Commercial paper program: USD 3,000,000,000 U.S. Commercial Paper Programme 10,006 10,644 USD 4,000,000,000 Euro-Commercial Paper Programme — — 1 Amortized cost excluding fair value adjustments. Liabilities in financing activities Non-cash items Skr mn January 1, 2020 Cash Flow Exchange--rate Unrealized Accrued December 31, 2020 Senior debt 273,017 29,460 -17,004 1,989 — 287,462 Lease liability 44 -27 2 1 — 19 Derivatives - net 13,088 -8,651 11,819 1,576 — 17,832 Total liabilities in financing activities 286,149 20,782 -5,185 3,567 — 305,313 1 Refers to a changed estimate of the lease liability, see note 8. Non-cash items Skr mn January 1, 2019 Cash Flow Exchange--rate Unrealized Accrued December 31, 2019 Senior debt 257,847 -4,420 10,580 9,010 — 273,017 Lease liability 95 1 -39 — -12 2 — 44 Derivatives - net 15,405 4,049 -2,629 -3,737 — 13,088 Total liabilities in financing activities 273,347 -410 7,951 5,261 — 286,149 1 Refers to the opening balance of the lease liability, see note 1. 2 Refers to a changed estimate of the lease liability, see note 8. |
Other liabilities
Other liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Other liabilities | |
Other liabilities | Note 19. Other liabilities Skr mn Dec 31, 2020 Dec 31, 2019 Cash payables, debt -purchases 194 2,011 Other 261 455 Total 455 2,466 |
Accrued expenses and prepaid re
Accrued expenses and prepaid revenues | 12 Months Ended |
Dec. 31, 2020 | |
Accrued expenses and prepaid revenues | |
Accrued expenses and prepaid revenues | Note 20. Accrued expenses and prepaid revenues Skr mn Dec 31, 2020 Dec 31, 2019 Interest expenses accrued 1,843 2,541 Other accrued expenses and prepaid revenues 81 41 Total 1,924 2,582 |
Provisions
Provisions | 12 Months Ended |
Dec. 31, 2020 | |
Provisions | |
Provisions | Note 21. Provisions Consolidated Group Skr mn December 31, 2020 December 31, 2019 Pension liabilities 1 82 83 Long term employee benefit 8 6 Off balance, expected credit losses 2 9 4 Total 99 93 1 See note 5. 2 Provisions for expected credit losses are on the off-balance-sheet, in accordance with IFRS 9. See note 9. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2020 | |
Equity | |
Equity | Note 22. Equity Consolidated Group December 31, December 31, Skr mn 2020 2019 Share capital 3,990 3,990 Legal reserve — — Fund for internally developed software — — Reserves/Fair value reserve Own credit risk -84 -98 Defined benefit plans -45 -45 Retained earnings 16,203 15,235 Total equity 20,064 19,082 The total number of shares is 3,990,000 with a quota value of Skr 1,000. Own credit risk consists of gains and losses that arise from changes in SEK´s own credit risk on liabilities designated at fair value. These are recognized in Other comprehensive income under the reserve for own credit risk and are not reclassified to profit or loss in the financial statements of the Group. Defined benefit plans consists of gains and losses that arises from changes in the value of defined benefit plans. These are presented in other comprehensive income in the reserve for defined benefit plans in accordance with IAS 19. In the parent company, these benefit plans are not reported as defined benefit, se note 1 (q) Fund for internally developed software represents expenses that are directly attributable to large investments in the development of IT systems. The entire equity is attributable to the shareholder of the Parent Company. Consolidated Group Parent Company December 31, December 31, December 31, December 31, Skr mn 2020 2019 2020 2019 Restricted equity 4,282 4,235 4,282 4,235 Unrestricted equity 15,782 14,847 15,840 14,903 Total equity 20,064 19,082 20,122 19,138 For information on the objectives, policies and processes for managing capital, see the Risk and Capital Management section. Proposal for the distribution of profits The results of the Consolidated Group’s operations during the year and its financial position at December 31, 2020, can be seen in the Statement of Comprehensive Income, Statement of Financial Position and Statement of Cash Flows for the Consolidated Group. The Board has decided to propose to the Annual General Meeting the payment of a dividend of Skr 290 million (year-end 2019: -), in accordance with the company’s dividend policy. The following proposal regarding distribution of profits relates to the Parent Company. At the disposal of the Annual General Meeting 15,840 The Board of Directors proposes that the Annual General Meeting dispose of these funds as follows: - dividend to the shareholder of Skr 72.78 per share, amounting to 290 - remaining disposable funds to be carried forward 15,550 |
Pledged assets and contingent l
Pledged assets and contingent liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Pledged assets and contingent liabilities | |
Pledged assets and contingent liabilities | Note 23. Pledged assets and contingent liabilities Skr mn Dec 31, 2020 Dec 31, 2019 Collateral provided Cash collateral under the security agreements for derivative contracts 21,979 16,891 Contingent liabilities Guarantee commitments 3,969 4,393 Commitments Committed undisbursed loans 57,213 52,150 Binding offers 1,322 2,800 |
CIRR-system
CIRR-system | 12 Months Ended |
Dec. 31, 2020 | |
CIRR-system | |
CIRR-system | Note 24. CIRR-system Pursuant to the Company’s assignment as stated in its owner instruction issued by the Swedish government, SEK administers credit granting in the Swedish system for officially supported export credits (CIRR-system). SEK receives compensation from the Swedish government in the form of an administrative compensation, which is calculated based on the principal amount outstanding. The administrative compensation paid by the state to SEK as compensation is recognized in the CIRR-system as administrative compensation to SEK. Refer to the following tables of the statement of comprehensive income and statement of financial positions for the CIRR-system, presented as reported to the owner. Interest expenses includes interest expenses for loans between SEK and the CIRR-system which reflects the borrowing cost for the CIRR-system. Interest expenses for derivatives hedging CIRR-loans are also recognized as interest expenses, which differs from SEK’s accounting principles. Arrangement fees to SEK are recognized together with other arrangement fees as interest expenses. In addition to the CIRR-system, SEK administers the Swedish government’s previous concessionary credit program according to the same principles as the CIRR-system. No new lending is being offered under the concessionary credit program. As of December 31, 2020, concessionary loans outstanding amounted to Skr 382 million (year-end 2019: Skr 547 million) and operating profit for the program amounted to Skr -28 million for the period January-December 2020 (2019: Skr -36 million). SEK´s administrative compensation for administrating the concessionary credit program amounted to Skr 1 million (2019: Skr 2 million). Statement of comprehensive income for the CIRR-system Skr mn 2020 2019 2018 Interest income 2,170 2,074 1,624 Interest expenses -2,087 -1,912 -1,480 Interest compensation 14 1 20 Foreign exchange effects 4 5 9 Profit before compensation to SEK 101 168 173 Administrative remuneration to SEK -196 -192 -155 Operating profit CIRR-system -95 -24 18 Reimbursement to (-) / from (+) the State 95 24 -18 Statement of financial position for the CIRR-system Skr mn Dec 31, 2020 Dec 31, 2019 Cash and cash equivalents 2 0 Loans 69,163 76,120 Derivatives — 26 Other assets 12,528 9,307 Prepaid expenses and accrued revenues 407 569 Total assets 82,100 86,022 Liabilities 69,289 76,257 Derivatives 12,232 9,117 Accrued expenses and prepaid revenues 579 648 Total liabilities and equity 82,100 86,022 Commitments Committed undisbursed loans 51,463 47,868 Binding offers 1,322 37 |
Capital adequacy
Capital adequacy | 12 Months Ended |
Dec. 31, 2020 | |
Capital adequacy | |
Capital adequacy | Note 25. Capital adequacy Capital Adequacy Analysis December 31, 2020 December 31, 2019 Capital ratios percent 1 percent 1 Common Equity Tier 1 capital ratio 21.8 20.6 Tier 1 capital ratio 21.8 20.6 Total capital ratio 21.8 20.6 1 Capital ratios excl. of buffer requirements are the quotients of the relevant capital measure and the total risk exposure amount. See tables Own funds - adjusting items and Minimum capital requirements exclusive of buffer. December 31, 2020 December 31, 2019 Buffers requirement Skr mn percent 1 Skr mn percent 1 Institution specific Common-Equity Tier 1 capital requirement incl. of buffers 6,271 7.0 7,890 8.9 of which minimum Common Equity Tier 1 requirements 2 4,014 4.5 3,990 4.5 of which Capital conservation buffer 2,230 2.5 2,216 2.5 of which Countercyclical buffer 27 0.0 1,684 1.9 of which Systemic risk buffer — — — — Common Equity Tier 1 capital available as a buffer 3 12,310 13.8 11,171 12.6 1 Expressed as a percentage of total risk exposure amount. 2 The minimum requirements according to CRR (Regulation (EU) No 575/2013 of the European Parliament and of the Council of June 26, 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012) have fully come into force in Sweden without regard to the transitional period. The minimum requirements are 4.5 percent, 6.0 percent and 8.0 percent related to Common Equity Tier 1 capital, Tier 1 capital and total Own Funds respectively. 3 Common Equity Tier 1 capital ratio as reported less the minimum requirement of 4.5 percent and less 3.5 percent, consisting of Common Equity Tier 1 capital used to meet the Tier 1 and Tier 2 requirements, since SEK do not have any Additional Tier 1 or Tier 2 capital. December 31, 2020 December 31, 2019 Total capital requirement including buffers Skr mn percent 1 Skr mn percent 1 Total CRR capital requirement 2 9,393 10.5 10,993 12.4 Total FSA capital requirement 3 13,773 14.7 15,606 16.4 1 Expressed as a percentage of total risk exposure amount. 2 The requirement includes the minimum requirement of 8 percent, the capital conservation buffer and the countercyclical buffer. Expressed as a percentage of total risk exposure amount. 3 The requirement includes the minimum requirement of 8 percent, the capital conservation buffer and the countercyclical buffer and an additional capital requirement according to the Swedish FSA. See the additional capital requirement in the table below. Figures are calculated with one quarter lag. December 31, 2020 December 31, 2019 Additional Capital requirement -according to Swedish FSA 2 Skr mn percent 1 Skr mn percent 1 Credit-related concentration risk 2,089 2.2 2,089 2.2 Interest rate risk in the banking book 844 0.9 844 0.9 Pension risk 11 0.0 11 0.0 Other Pillar 2 capital requirements 936 1.0 936 1.0 Capital planning buffer — — — — Total Additional Capital requirement according to Swedish FSA 3,880 4.1 3,880 4.1 1 Expressed as a percentage of total risk exposure amount. 2 Figures are calculated with one quarter lag. Own funds — adjusting items Parent Company December 31, December 31, Skr mn 2020 2019 Share capital 1 3,990 3,990 Retained earnings 14,856 12,829 Accumulated other comprehensive income and other reserves 2 292 245 Independently reviewed profit net of any foreseeable charge or dividend 694 1,766 Common Equity Tier 1 (CET1) capital before regulatory adjustments 19,832 18,830 Additional value adjustments due to prudent valuation -306 -445 Intangible assets -98 -56 Gains or losses on liabilities valued at fair value resulting from changes in own credit -standing 77 93 Negative amounts resulting from the calculation of expected loss amounts -55 -115 Total regulatory adjustments to Common Equity Tier 1 capital -382 -523 Total Common Equity Tier 1 capital 19,450 18,307 Additional Tier 1 capital — — Total Tier 1 capital 19,450 18,307 Tier 2-eligible subordinated debt — — Credit risk adjustments 2 — — Total Tier 2 capital — — Total Own funds 19,450 18,307 1 For a detailed description of the instruments constituting share capital, see note 22. 2 The expected loss amount calculated under the IRB approach is a gross deduction from own funds. The gross deduction is decreased by impairment related to exposures for which expected loss is calculated. Excess amounts of such impairment will increase own funds. This increase is limited to 0.6 percent of SEK’s risk exposure amount under the IRB approach related to exposures to central governments, corporates and financial institutions. As of December 31, 2020, the limitation rule had no effect (year end 2019: no effect). Minimum capital requirements exclusive of buffers Parent Company December 31, 2020 December 31, 2019 Risk Min. Risk Min. exposure capital exposure capital Skr mn EAD 1 amount requirement EAD 1 amount requirement Credit risk, standardized approach Corporates 2,245 2,245 180 2,367 2,367 189 Total credit risk, standardized approach 2,245 2,245 180 2,367 2,367 189 Credit risk, IRB approach Central governments 192,077 9,684 775 172,148 8,816 705 Financial institutions 2 30,661 6,764 541 45,437 10,802 864 Corporates 3 117,415 63,766 5,101 110,592 60,068 4,806 Non-credit-obligation assets 163 163 13 152 152 12 Total credit risk IRB approach 340,316 80,377 6,430 328,329 79,838 6,387 Credit valuation adjustment risk n.a. 2,284 183 n.a. 2,534 203 Foreign exchange risk n.a. 664 52 n.a. 695 56 Commodity risk n.a. 7 1 n.a. 9 1 Operational risk n.a. 3,625 290 n.a. 3,214 257 Total 342,561 89,202 7,136 330,696 88,657 7,093 1 Exposure at default (EAD) shows the size of the outstanding exposure at default. 2 Of which counterparty risk in derivative contracts: EAD Skr 5,535million (year-end 2019: Skr 5,613 million), Risk exposure amount of Skr 1,908 million (year-end 2019: Skr 1,980 million) and Capital requirement of Skr 153 million (year-end 2019: Skr 158 million). 3 Of which related to Specialized lending: EAD Skr 3,847 million (year-end 2019: Skr 3,646 million), Risk exposure amount of Skr 2,739 million (year-end 2019: Skr 2,352 million) and Capital requirement of Skr 219 million (year-end 2019: Skr 188 million). Credit risk by PD grade The tables illustrate the exposure at default (EAD), the portion of the exposure that will be lost in the event of a default (LGD) and the probability of default or cancellation of payments by a counterparty (PD) for the exposure classes where PD is estimated internally. Average PD is calculated without consideration of PD floors. Average PD and LGD are weighted by EAD,the average risk weight is the quotient of risk exposure amount and EAD. December 31, 2020 December 31, 2019 AAA A+ A+ BBB+ to AA- to A– BBB+ BB+ to B– CCC to D AAA to AA- to A– to BBB– BB+ to B– CCC to D 0.003%– 0.02– to BBB– 0.54– 27.27– 0.003%– 0.02– 0.12– 0.54– 27.27– Skr mn 0.01% 0.07% 0.12–0.32% 6.80% 100% 0.01% 0.07% 0.32% 6.80% 100% Central governments EAD 186,722 5,287 — 68 — 166,286 5,862 — — — Average PD in % 0.004 0.05 — 4.14 — 0.004 0.05 — — — Average LGD in % 45.0 45.0 — 45.0 — 45.0 45.0 — — — Average risk weight in % 4.6 20.0 — 149.5 — 4.6 19.8 — — — December 31, 2020 December 31, 2019 A+ A+ AAA to A– BBB+ BB+ to B– CCC to D AAA to A– BBB+ BB+ to B– CCC to D to AA- 0.01%- 0.06– to BBB– 0.50– 28.91– to AA- 0.06– to BBB– 0.50– 28.91– Skr mn 0.04% 0.11% 0.16–0.32% 8.27% 100% 0.01%–0.04% 0.11% 0.16–0.32% 8.27% 100% Financial institutions EAD 12,742 15,896 1,984 38 — 16,403 27,651 1,382 1 — Average PD in % 0.04 0.07 0.18 0.76 — 0.04 0.08 0.22 0.54 — Average LGD in % 36.7 35.7 45.0 45.0 — 35.3 37.1 45.0 45.0 — Average risk weight in % 17.3 22.1 50.3 131.5 — 17.1 25.7 64.6 99.9 — Corporates EAD 2,302 17,929 69,263 24,063 12 5,995 19,438 58,945 22,548 20 Average PD in % 0.03 0.09 0.23 1.02 28.9 0.04 0.10 0.25 0.83 28.6 Average LGD in % 45.0 45.0 45.0 45.0 45.0 45.0 45.0 45.0 45.0 45.0 Average risk weight in % 19.4 30.6 49.4 86.6 263.7 19.7 33.1 51.7 86.8 263.7 Credit risks For risk classification and quantification of credit risk, SEK uses an internal ratings-based (IRB) approach. The Swedish FSA has approved SEK’s IRB approach. Specifically, SEK applies the foundation IRB approach. Under the foundation IRB approach, the company determines the PD within one year for each of its counterparties, while the remaining parameters are established in accordance with the CRR. Certain exposures are, by permission from the Swedish FSA, exempted from application of the IRB approach and, instead, the standardized approach is applied for calculating the capital requirement. For further information regarding these exposures see the Risk measurement section in note 26. Counterparty risk exposure amounts in derivative contracts are calculated in accordance with the mark-to-market approach. Credit valuation adjustment risk A capital requirement for credit valuation adjustment risk is calculated for all OTC derivatives, except for credit derivatives used as credit-risk hedges and transactions with a qualifying central counterparty. SEK calculates this capital requirement using the standardized approach. Foreign exchange risk Foreign exchange risk is calculated with the standardized approach, whereas the scenario approach is used for calculating the gamma and volatility risks. Commodity risk Own funds requirements for commodity risk are calculated using the simplified approach under the standardized approach, and where the scenario approach is used for calculating the gamma and volatility risks. Operational risk The capital requirement for operational risk is calculated with the standardized approach, whereby the company’s operations are divided into business areas as defined in the CRR. The capital requirement for each area is calculated by multiplying a factor, depending on the business area, by an income indicator. The factors applicable for SEK are 15 percent and 18 percent. The income indicators consist of the average operating income for the past three fiscal years for each business area. Transitional rules SEK does not apply IFRS9 transitional rules for expected losses. The capital adequacy ratios already reflect the full impact of IFRS 9 with regard to expected loss. Capital buffer requirements SEK is to meet capital buffer requirements with Common Equity Tier 1 capital. SEK has not been classified as a systemically important institution. Accordingly, the capital buffer requirements for systemically important institutions that entered into force on January 1, 2016 do not apply to SEK. There is no systemic risk buffer applicable for SEK that is active at the moment. The mandatory capital conservation buffer is 2.5 percent. The countercyclical buffer rate that is applied to exposures located in Sweden was lowered from 2.5 percent to 0 percent as of March 16, 2020. The reduction was made for preventive purposes, in order to counteract credit tightening due to the recent development and spread of COVID-19 and its effects on the economy. At December 31, 2020, the capital requirement related to credit-risk exposures in Sweden was 70 percent (year-end 2019: 70 percent) of the total capital requirement regardless of location, this fraction is also the weight applied to the Swedish buffer rate when calculating SEK’s countercyclical capital buffer. The countercyclical capital buffer as of December 31, 2020 for Sweden has been dissolved due to the reduction of the countercyclical buffer value to 0 percent. Buffer rates activated in other countries may impact SEK, but as most capital requirements from relevant credit exposures are related to Sweden, the potential effect is limited. At December 31, 2020, the contribution to SEK’s countercyclical capital buffer from buffer rates in other countries was 0.03 percentage points (year-end 2019: 0.1 percentage points). Leverage ratio December 31, December 31, Skr mn 2020 2019 Exposure measure for the leverage ratio On-balance-sheet -exposures 297,605 288,146 Off-balance-sheet -exposures 37,162 35,856 Total exposure measure 334,767 324,002 Leverage ratio 5.8 % 5.7 % The leverage ratio is a metric introduced in 2015. Currently, SEK is not subject to a minimum leverage ratio requirement. However, a leverage ratio requirement of 3% will enter into force on June 27, 2021. The leverage ratio is defined in the CRR as the quotient of the Tier 1 capital and an exposure measure. The exposure measure consists of assets, with special treatment of derivatives among other items, and off-balance-sheet credit-risk exposures that have been weighted with a factor depending on the type of exposure. SEK does not apply IFRS 9 transitional rules for expected losses. The leverage ratio already reflects the full impact of IFRS 9 with regard to expected loss. Internally assessed capital adequacy December 31, December 31, Skr mn 2020 2019 Credit risk 6,121 7,337 Operational risk 203 183 Market risk 1,140 1,109 Other risks 183 203 Capital planning buffer 2,831 992 Total 10,478 9,824 SEK regularly conducts an internal capital adequacy assessment process (ICAAP), during which the company determines how much capital is needed to cover its risks. The result of SEK’s capital adequacy assessment is presented above. For more information regarding the ICAAP and its methods, please see the Risk and capital management section. |
Risk information
Risk information | 12 Months Ended |
Dec. 31, 2020 | |
Risk information | |
Risk information | Note 26. Risk information For further information on SEK’s risk management, see the Risk and capital management section, on pages 36-41. Consolidation of SEK pursuant to the supervisory regulations differs from in the consolidated financial statements, where no consolidation pursuant to the supervisory regulation was conducted, since the wholly owned subsidiary, SEKETT AB, which is the only company in the Group aside from the Parent Company, is not a financial company. Since no subsidiary is an institute pursuant to the CRR definition, subsidiaries are not subject to the supervisory regulations on an individual basis. The table of credit quality as per category in the Statement of Financial Position and the table illustrating the link between the Statement of Financial Position categories and exposures under the CRR contain carrying amounts. Other tables show amounts in accordance with the capital requirements calculations, however before application of conversion factors. Credit risk Credit risk is defined as the risk of losses due to the failure of a credit or an arrangement similar to that of a credit to be fulfilled. Credit risk is divided into issuer risk, counterparty risk, concentration risk, settlement risk and country risk (including transfer risk). SEK’s credit risks are limited using a risk-based selection of counterparties and are further mitigated by the use of guarantees, netting agreements and collateral. SEK’s appetite for credit risk is significantly greater than its appetite for other risks. Risk management The Risk policy and the Credit Policy The Risk Policy and the Credit Policy issued by the Board, and the Credit Instruction issued by the Board’s Credit Committee are the foundations upon which SEK’s credit risk management is based. These policy documents constitute the framework for the level of credit risk that SEK can accept and describe the decision-making structure and credit-decision mandate as well as the credit norm. The underlying methodological working papers clarify the credit process, fundamental principles for credit limits and the management of problem loans. The credit norm is a core concept for SEK’s credit granting and clarifies expectations in terms of credit quality. For a business transaction to be considered to fall within the credit norm, it is necessary for the proposition to satisfy the requirements for the following areas: norm for the risk level and norm for the lending terms. The Company’s Board establishes an overall framework for SEK’s risk management in the form of policies, risk appetite, capital targets (decided at the annual general meeting) and limits. For credit risk, a number of measures are defined for risk appetite. The Board also decides on the Company’s policy for sustainable business. All credit decisions are to be made in line with the decision-making mandate structure established by the Board for delegated decision-making. SEK’s credit-decision structure and established mandates is built on a decision-making structure based on the duality principle, thus ensuring thorough analysis and assessment of all credit propositions. Risk reduction Credit risk is reduced through the use of various credit-risk hedges, in the form of guarantees, netting agreements and other forms of collateral. The guarantors, particularly with regard to end-customer financing, are predominantly government export credit agencies in the OECD, of which the Swedish Export Credits Guarantee Board (EKN) is the largest. Since the credit risk is allocated to a guarantor, SEK’s guaranteed credit-risk exposure in reports of its net credit risk exposure largely consists of exposure to government counterparties. Guarantees are also received from financial institutions and, to a lesser extent, non-financial corporations and insurance companies. The counterparty risk associated with derivative contracts is always documented using ISDA Master Agreements, which also entail a netting agreement, with the support of collateral agreements in the form of a CSA. Approved collateral under the CSAs signed by SEK always takes the form of liquid assets. SEK also uses various types of collateral to reduce credit risks pertaining to certain types of credit granting. While collateral is significant for individual transactions, it has limited impact on the total lending portfolio. Limit setting SEK utilizes limits to restrict credit risks to a specified level. Limits express the highest permissible exposure to a counterparty for specific tenors and for various types of exposures, such as corporate lending, guarantees, counterparty risk in derivative contracts or liquidity investments. Exposures must be encompassed within the limits that have been decided for the particular counterparties. The overall limits are set by the Board. All limits are reviewed at least once annually. Testing provisions SEK applies IFRS 9 for the impairment of financial instruments. Impairment is based on the model for expected credit losses (ECL). The assets being impairment tested are divided into three stages: Stage 1, Stage 2 and Stage 3. Initially, all exposures are in Stage 1. Exposures where there is a significant increase in credit risk are placed in Stage 2 and Stage 3 encompasses exposures in default. Stage 3 impairments are calculated through individual testing based on an expert assessment. Individual testing provisions are made when objective conditions exist that indicate a possible need for the financial asset to be impaired according to Stage 3. The Credit Committee prepares provision proposals from the account managers and credit analysts, which are thereafter determined by the Board’s Credit Committee. The Board adopts the accounts and thereby the provisions. Refer to note 1 for more information on the calculation of expected credit losses under IFRS 9. Risk measurement With the exception of a few counterparties, SEK uses, and has permission to use, the Foundation IRB approach for measuring the credit risk inherent in exposures to a majority of SEK’s counterparties. This means that for these exposures SEK uses its own estimates of the probability of default (PD) risk parameter which, per counterparty, reflects the assigned internal rating. Other risk parameters, including loss given default (LGD) and credit conversion factors (CCF), are determined by the Capital Requirements Regulation (CRR). All of SEK’s counterparties are assigned internal ratings. SEK’s permission from the Swedish FSA to use the Foundation IRB approach encompasses exposures to central governments, regional governments, county councils, multilateral development banks, and companies, including insurance companies and financial institutions. The Swedish FSA has granted SEK permission to apply exceptions from the IRB approach for certain exposures. For these exposures, SEK uses the Standardized approach and external ratings when calculating risk exposure amounts (when no external rating is available, the exposure is assigned a risk weight of 100 percent). The exempted exposures, for which the Standardized approach are used , are as follows (the permissions are valid as long as these exposures are of minor importance in terms of scope and risk profile): Exposures to small and medium-sized companies (with an annual turnover not exceeding 50 million euro) Exposures in the Customer Finance business area Guarantees for the benefit of small and medium-sized enterprises In the assessment of capital adequacy, those counterparties using external ratings are assigned an internal rating under IFRS 9. Counterparty risk in derivative contracts Counterparty risk in derivative contracts — which is a type of credit risk — arises when derivatives are used to manage risks. To limit this risk, SEK enters into such transactions solely with counterparties with strong credit ratings. Risk is further reduced by SEK’s entering into ISDA Master Agreements (ISDAs), together with associated CSAs, with its counterparties before entering into derivative contracts. These bilateral CSAs define the maximum permissible risk levels in form of threshold amounts. ISDA and CSA agreements are reviewed continuously to be able to renegotiate the terms as necessary. For counterparty exposures that exceed the threshold amounts under the relevant CSAs due to market value changes, settlement is demanded so that the counterparty exposure is reduced to the pre-agreed level. All interest derivative contracts are subject to central clearing according to the EU’s regulation on OTC derivatives, central clearing counterparties and trade repositories (EMIR) since the end of 2016. Risk monitoring SEK’s exposures are analyzed, reported and followed up regularly in respect of credit portfolio risk concentration and the credit quality of individual debtors. The analysis encompasses, among other things, (i) the size of individual commitments, (ii) domicile and (iii) sector. The analysis refers to both direct exposure and indirect exposure. The concentration risks mentioned above are reflected in SEK’s calculation of economic capital for credit risks, which leads to a higher capital requirement compared with the minimum capital requirement. When calculating capital requirements, the minimum capital requirement does not take concentration risks into account. For the purpose of monitoring and checking large exposures, SEK has defined internal limits, which impose further limitations on the size of such exposures in addition to those stated in the CRR. Exposures assessed as problem loans, meaning those for which SEK assesses that there is a high probability that the undertaking according to the original agreement will not be fulfilled, are analyzed in greater detail and more frequently. The term “problem loans” encompasses forborne exposures, non-performing receivables, non-performing exposures and defaulted exposures. The intention is to identify, at an early stage, credits with an elevated risk. This is to adapt the exposure, reduce credit losses and ensure that the risk rating reflects the actual risk associated with the particular counterparty. The credit portfolio is subject to regular stress tests. The results of the scenario analyses and stress tests are reported to the Board and the Finance and Risk Committee on a regular basis. The Company’s risk and product rating, and risk estimates, comprise a central feature of the reporting of credit risk to the Board, the Board's Finance and Risk Committee, the Management and the Credit Committee. The CEO and the Chief Risk Officer inform the Board and the Board's Finance and Risk Committee of all significant changes concerning SEK’s IRB system. SEK’s IRB system is validated by the independent risk function at least once annually. Risk information For a supplementary and expanded account of the credit risk-related information, refer to the separate risk report, "SEK - Capital Adequacy and Risk Management Report - Pillar 3". Risk information, credit risk The table below shows the maximum credit exposure. Nominal amounts are shown, apart from cash and cash equivalents and derivatives, which are recognized at the carrying amount. December 31, 2020 Maximum credit-risk exposure Assets at fair value through Amortized Skr mn profit or loss costs Cash and cash equivalents — 3,362 Treasuries/government bonds 22,275 — Other interest-bearing securities except loans 33,663 — Loans in the form of interest-bearing securities — 50,947 Loans to credit institutions — 16,326 Loans to the public — 227,075 Derivatives 7,563 — Total financial assets 63,501 297,710 December 31, 2019 Maximum credit-risk exposure Assets at fair value through Amortized Skr mn profit or loss costs Cash and cash equivalents — 1,362 Treasuries/government bonds 8,370 — Other interest-bearing securities except loans 54,132 — Loans in the form of interest-bearing securities — 43,793 Loans to credit institutions — 11,235 Loans to the public — 222,814 Derivatives 6,968 — Total financial assets 69,470 279,204 Maximum credit-risk exposure for loans to credit institutions and loans to the public includes committed but undisbursed loans at year end, which are recognized in nominal amounts. The table below shows the credit quality following risk mitigation (net) per row in the Statement of Financial Position.The figures pertain to carrying amounts. SEK uses guarantees, CDSs and insurance policies as credit-risk hedges; see also the Risk and capital management section. December 31, 2020 Skr mn AAA AA+ till A- BBB+ till BBB- BB+ till B- CCC till D Carrying amount Cash and cash equivalents 3,362 3,362 Treasuries/government bonds 11,380 10,886 22,266 Other interest-bearing securities except loans 16,919 16,632 33,551 Loans in the form of interest-bearing securities 2,937 11,938 6,305 29,600 50,780 Loans to credit institutions 1,886 27,245 78 2,106 31,315 Loans to the public 90,244 21,682 18,062 41,549 25 171,562 Derivatives 5,846 1,717 7,563 Total financial assets 126,728 94,229 24,445 74,972 25 320,399 Committed undisbursed loans 52,669 1,374 1,145 2,025 57,213 December 31, 2019 Skr mn AAA AA+ till A- BBB+ till BBB- BB+ till B- CCC till D Carrying amount Cash and cash equivalents 711 651 — — — 1,362 Treasuries/government bonds 2,191 6,153 — — — 8,344 Other interest-bearing securities except loans 20,092 33,284 530 — — 53,906 Loans in the form of interest-bearing securities — 9,785 29,622 4,220 — 43,627 Loans to credit institutions 2,285 23,455 1,205 65 — 27,010 Loans to the public 85,619 28,503 31,327 18,399 — 163,848 Derivatives — 5,822 1,146 — — 6,968 Total financial assets 110,898 107,653 63,830 22,684 — 305,065 Committed undisbursed loans 48,246 1,307 807 1,790 — 52,150 The credit quality of financial assets is assessed using internal and external ratings. The table below illustrates the link between the Statement of Financial Position categories and net exposures according to CRR. December 31, 2020 Adjustment to carrying Multilateral Carrying amount from Central Regional development Public -sector Financial Skr bn amount exposure governments governments banks entity institutions Corporates Cash and cash equivalents 3.4 0.1 2.5 — — — 0.8 — Treasuries/government bonds 22.3 0.0 22.3 — — — — — Other interest-bearing -securities except loans 33.6 -0.2 3.2 7.9 3.2 4.2 13.2 2.1 Loans in the form of interest-bearing securities 50.8 0.0 2.9 — — — 0.5 47.4 Loans to credit institutions including cash and cash -equivalents 1 31.3 21.9 1.1 4.1 — — 3.4 0.8 Loans to the public 171.6 -1.6 99.7 0.3 0.3 6.6 66.3 Derivatives 7.6 2.1 — — — — 5.5 — Other assets 12.9 12.9 — — — — — — Total financial assets 333.5 35.2 131.7 12.3 3.5 4.2 30.0 116.6 Contingent liabilities and -commitments 2 62.5 1.3 53.8 — — — 0.9 6.5 Total 396 36.5 185.5 12.3 3.5 4.2 30.9 123.1 December 31, 2019 Adjustment to carrying Multilateral Carrying amount from Central Regional development Public -sector Financial Skr bn amount exposure governments governments banks entity institutions Corporates Cash and cash equivalents 1.4 -0.1 — — — — 1.5 — Treasuries/government bonds 8.3 -0.1 8.4 — — — — — Other interest-bearing -securities except loans 53.9 0.0 3.3 10.6 2.8 4.0 26.7 6.5 Loans in the form of interest-bearing securities 43.6 -0.2 — — — — 0.9 42.9 Loans to credit institutions including cash and cash -equivalents 1 27.0 16.9 0.9 5.1 — — 4.0 0.1 Loans to the public 163.8 -1.0 97.8 0.8 0.3 — 5.8 60.1 Derivatives 7.0 1.4 — — — — 5.6 0.0 Other assets 9.3 9.3 — — — — — — Total financial assets 314.3 26.2 110.4 16.5 3.1 4.0 44.5 109.6 Contingent liabilities and -commitments 2 59.3 0.0 50.8 — — — 1.2 7.3 Total 373.6 26.2 161.3 16.5 3.1 4.0 45.7 116.9 1 Skr 22.0 billion (2019: Skr 16.9 billion) of the book value for Loans to credit institutions is cash collateral under the CSAs for derivative contracts. 2 Contingent liabilities and commitments, except cash collateral. Derivative exposure after netting under current ISDA Master Agreements in accordance with the CRR’s management of the counterparty risk in derivative contracts amounts to Skr 5.5 billion (2019: SEK 5.6 billion). For more information on the counterparty risk in derivative contracts under the CRR, refer to the Risk and capital management section. Total credit exposures in the Group Net exposures are recognized after taking the impact of guarantees and credit derivatives into account. Gross exposures are recognized without taking the impact of guarantees and credit derivatives into account. According to the internal risk follow-up, the amounts agree with the capital requirements calculations, although without the application of conversion factors. In tables showing the geographical breakdown of exposures, North America is shown excluding Central America. Total net exposures Interest-bearing securities Committed undisbursed loans, derivatives, and lending etc. Total Skr bn Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Exposure class Amount % Amount % Amount % Amount % Amount % Amount % Central governments 131.6 45.0 110.4 39.1 53.9 80.0 50.9 78.3 185.5 51.6 161.3 46.4 Regional governments 12.3 4.2 16.5 5.8 — — — — 12.3 3.4 16.5 4.7 Multilateral development banks 3.5 1.2 3.1 1.1 — — — — 3.5 1.0 3.1 0.9 Public sector entity 4.2 1.5 4.0 1.4 — — — — 4.2 1.2 4.0 1.2 Financial institutions 24.5 8.4 38.9 13.8 6.4 9.5 6.8 10.5 30.9 8.6 45.7 13.2 Corporates 116.0 39.7 109.6 38.8 7.1 10.5 7.3 11.2 123.1 34.2 116.9 33.6 Total 292.1 100.0 282.5 100.0 67.4 100.0 65.0 100.0 359.5 100.0 347.5 100.0 Geographical breakdown of credit exposures by exposure class Geographical breakdown of gross exposures by exposure class December 31, 2020 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments 11.3 3.6 2.4 0.8 — 42.0 12.1 12.7 — 84.9 Regional governments 1.4 — — — — — 7.9 0.0 — 9.3 Multilateral development banks — — — — — — — 3.1 — 3.1 Public sector entity — — — — — — — 4.3 — 4.3 Financial institutions — 1.2 0.1 1.0 0.8 — 13.3 10.4 0.2 27.0 Corporates 14.1 5.0 1.7 64.0 — 8.0 105.1 28.3 4.7 230.9 Total 26.8 9.8 4.2 65.8 0.8 50.0 138.4 58.8 4.9 359.5 December 31, 2019 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments 4.2 4.8 2.8 1.3 — 42.2 3.0 5.6 — 63.9 Regional governments 1.7 — — — — — 10.5 0.1 — 12.3 Multilateral development banks — — — — — — — 2.8 — 2.8 Public sector entity — — — — — — — 4.0 — 4.0 Financial institutions — 2.7 0.6 5.7 0.9 — 19.7 13.4 0.2 43.2 Corporates 21.1 8.6 1.4 65.1 — 7.6 82.6 31.3 3.6 221.3 Total 27.0 16.1 4.8 72.1 0.9 49.8 115.8 57.2 3.8 347.5 Geographical breakdown of net exposures by exposure class December 31, 2020 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments 0.1 0.4 2.4 1.6 — — 159.2 19.0 2.8 185.5 Regional governments — — — — — — 12.2 0.1 — 12.3 Multilateral development banks — — — — — — — 3.5 — 3.5 Public sector entity — — — — — — — 4.2 — 4.2 Financial institutions 0.0 1.2 0.6 1.7 0.8 — 11.4 15.0 0.2 30.9 Corporates 2.6 1.1 3.9 5.7 — 3.3 85.2 20.9 0.4 123.1 Total 2.7 2.7 6.9 9.0 0.8 3.3 268.0 62.7 3.4 359.5 December 31, 2019 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments — 0.6 2.8 2.8 — — 138.1 13.9 3.1 161.3 Regional governments — — — — — — 16.3 0.2 — 16.5 Multilateral development banks — — — — — — — 3.1 — 3.1 Public sector entity — — — — — — — 4.0 — 4.0 Financial institutions — 2.7 0.9 6.6 0.9 — 16.7 17.7 0.2 45.7 Corporates 4.5 1.7 3.8 4.0 — 2.8 80.1 19.9 0.1 116.9 Total 4.5 5.0 7.5 13.4 0.9 2.8 251.2 58.8 3.4 347.5 Impact of credit-risk hedges by exposure class and hedge type The table below shows, on the basis of gross exposure class, a breakdown based on whether or not the amounts are covered by credit-risk hedges in the form of guarantees or credit derivatives that are included in the capital adequacy calculations. Credit insurance issued by insurance companies is thus counted as guarantees. Hedged amounts have been divided in accordance with the hedge issuer’s exposure class and type of hedge. Accordingly, the tables show the hedge types that convert gross exposures to net exposures. Impact of credit-risk hedges December 31,2020 Gross exposures by exposure class whereof subject Multilateral to the write-down Central Regional development Public Financial requirement in Skr bn government governments banks Sector Entity institutions Corporates Total IFRS9 1 Amounts related to hedges issued by: Central governments 56.8 1.4 — — — 98.9 157.1 157.1 of which, guarantees issued by the EKN 56.1 1.4 — — — 89.1 146.6 146.6 of which, guarantees issued by other 0.7 — — — — 6.8 7.5 7.5 of which, other guarantees — — — — — 3.0 3.0 3.0 Regional governments — — — — 4.0 0.3 4.3 4.3 Multilateral development banks — — — — — 0.4 0.4 0.4 Financial institutions 0.0 — — — — 7.9 7.9 7.9 of which, credit default swaps — — — — — — — — of which, guarantees 0.0 — — — — 7.9 7.9 7.9 Corporates — — — — — 3.5 3.5 3.5 of which, credit insurance from -insurance companies — — — — — 0.6 0.6 0.6 of which, other guarantees — — — — — 2.9 2.9 2.9 Total hedged exposures 56.8 1.4 — — 4.0 111.0 173.2 173.2 Unhedged exposures 2 28.1 7.9 3.1 4.3 23.0 119.9 186.3 130.5 Total 84.9 9.3 3.1 4.3 27.0 230.9 359.5 303.7 1 Assets valued at accrued acquisition value, which are subject to the write-down requirements in IFRS 9. 2 Exposures whereby the hedge issuer belongs to the same group as the counterparty in the unhedged exposure have been reported as “Unhedged exposures.” The amounts for these were Skr 26.1 billion for corporates, Skr 0.6 billion for financial institutions and Skr 0.1 billion for central governments. December 31,2019 Gross exposures by exposure class whereof subject Multilateral to the write-down Central Regional development Public Financial requirement in Skr bn government governments banks Sector Entity institutions Corporates Total IFRS9 1 Amounts related to hedges issued by: Central governments 51.3 1.7 — — 0.0 95.7 148.7 148.7 of which, guarantees issued by the EKN 50.4 1.7 — — 0.0 83.0 135.1 135.1 of which, guarantees issued by other 0.9 — — — — 9.5 10.4 10.4 of which, other guarantees — — — — — 3.2 3.2 3.2 Regional governments — — — — 5.1 0.7 5.8 5.8 Multilateral development banks — — — — — 0.3 0.3 0.3 Financial institutions 0.0 — — — 0.0 7.7 7.7 7.7 of which, credit default swaps — — — — — — — — of which, guarantees 0.0 — — — 0.0 7.7 7.7 7.7 Corporates — — — — — 3.1 3.1 3.1 of which, credit insurance from -insurance companies — — — — — 1.6 1.6 1.6 of which, other guarantees — — — — — 1.5 1.5 1.5 Total hedged exposures 51.3 1.7 — — 5.1 107.5 165.6 165.6 Unhedged exposures 2 12.6 10.6 2.8 4.0 38.1 113.8 181.9 119.3 Total 63.9 12.3 2.8 4.0 43.2 221.3 347.5 284.9 1 Assets valued at accrued acquisition value, which are subject to the write-down requirements in IFRS 9. 2 Exposures whereby the hedge issuer belongs to the same group as the counterparty in the unhedged exposure have been reported as “Unhedged exposures.” The amounts for these were Skr 23.5 billion for corporates, Skr 4.2 billion for financial institutions and Skr 0.1 billion for central governments. Gross exposures Europe, excluding Sweden, breakdown by exposure class December 31, 2020 Central Reginal Multilateral Public sector Financial Skr bn govern-ments -governments development banks entity -institutions Corporates Total Finland 2.4 0.0 0.3 — 0.1 6.2 9.0 Germany 2.2 — — 4.3 0.3 — 6.8 Spain — — — — 0.4 5.7 6.1 Austria 4.1 — — — 1.6 — 5.7 United Kingdom — — — — 2.2 2.7 4.9 Norway — — — — 0.1 4.6 4.7 Denmark 0.8 — — — 2.0 1.7 4.5 Luxembourg 1.0 — 2.8 — — — 3.8 France — — — — 2.1 1.4 3.5 Netherlands 1.0 — — — 1.5 0.5 3.0 Italy — — — — — 2.9 2.9 Poland — — — — — 2.9 2.9 Belgium 1.2 — — — 0.0 0.2 1.4 Belarus — — — — — 1.3 1.3 Switzerland — — — — — 1.2 1.2 Portugal — — — — — 0.7 0.7 Ireland — — — — 0.1 0.3 0.4 Serbia — — — — — 0.3 0.3 Russian Federation — — — — — 0.2 0.2 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Estonia — — — — 0.0 0.1 0.1 Ukraine — — — — — 0.0 0.0 Total 12.7 0.0 3.1 4.3 10.6 33.0 63.7 December 31, 2019 Central Reginal Multilateral Public sector Financial Skr bn -governments -governments development banks entity -institutions Corporates Total Spain — — — — 0.5 8.1 8.6 Germany 2.8 — — 4.0 0.5 — 7.3 Norway — — — — 2.0 5.1 7.1 Finland 0.6 0.1 — — 0.1 6.2 7.0 United Kingdom — — — — 2.4 2.6 5.0 Italy — — — — — 3.6 3.6 France — — — — 2.0 1.5 3.5 The Netherlands — — — — 3.2 0.2 3.4 Luxembourg 0.6 — 2.8 — — — 3.4 Poland — — — — — 3.1 3.1 Denmark — — — — 0.9 1.4 2.3 Belgium 1.6 — — — 0.0 0.2 1.8 Austria — — — — 1.7 — 1.7 Switzerland — — — — — 1.5 1.5 Portugal — — — — — 0.6 0.6 Russian Federation — — — — — 0.4 0.4 Ireland — — — — — 0.3 0.3 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Estonia — — — — 0.1 0.0 0.1 Ukraine — — — — — 0.0 0.0 Total 5.6 0.1 2.8 4.0 13.6 34.9 61.0 Net exposures Europe, excluding Sweden, breakdown by exposure class December 31, 2020 Multilateral Central Regional development Public sector Financial Skr bn -governments -governments banks entity -institution Corporates Total Finland 2.5 0.1 0.3 — 0.2 5.8 8.9 Germany 3.0 — — 4.2 1.0 0.4 8.6 France 4.7 — — — 2.6 0.6 8.0 United Kingdom 0.0 — — — 3.2 3.8 7.0 Austria 4.1 — — — 1.6 — 5.7 Denmark 1.0 — — — 2.5 1.7 5.2 Norway 0.2 — — — 0.2 4.4 4.8 Luxembourg 1.0 — 3.2 — — 0.4 4.6 Netherlands 1.3 — — — 1.6 0.3 3.2 Poland 2.9 — — — — 0.0 2.9 Belgium 1.1 — — — 0.7 0.7 2.5 Spain — — — — 1.3 0.6 1.9 Switzerland — — — — 0.1 0.7 0.8 Portugal — — — — — 0.7 0.7 Ireland — — — — — 0.6 0.6 Serbia — — — — — 0.3 0.3 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Italy — — — — — 0.1 0.1 Estonia — — — — 0.0 0.1 0.1 Total 21.9 0.1 3.5 4.2 15.2 21.3 66.2 December 31, 2019 Multilateral Central Regional development Public sector Financial Skr bn governments -governments banks entity -institution Corporates Total Germany 3.7 — — 4.0 1.0 0.4 9.1 France 6.3 — — — 1.6 0.1 8.0 United Kingdom 0.1 — — — 3.4 4.5 8.0 Norway 0.4 — — — 2.0 4.9 7.3 Finland 0.8 0.2 — — 0.2 5.6 6.8 Luxembourg 0.5 — 3.1 — — 0.8 4.4 The Netherlands 0.3 — — — 3.4 0.2 3.9 Denmark 0.2 — — — 1.8 1.3 3.3 Poland 3.1 — — — — 0.0 3.1 Belgium 1.6 — — — 0.6 0.2 2.4 Spain — — — — 1.7 0.4 2.1 Austria — — — — 1.7 — 1.7 Switzerland — — — — 0.2 0.5 0.7 Portugal — — — — — 0.6 0.6 Ireland — — — — — 0.3 0.3 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Italy — — — — — 0.1 0.1 Estonia — — — — 0.1 0.0 0.1 Total 17.0 0.2 3.1 4.0 17.9 20.0 62.2 Corporate exposures, broken down by industry 1 December 31, 2020 December 31, 2019 Skr bn Gross exposure Net exposure Gross exposure Net exposure IT and telecom 81.4 15.1 84.6 13.6 Industrials 43.2 42.1 46.6 40.7 Consumer goods 37.9 27.3 23.3 12.8 Financials 25.6 10.7 21.2 16.6 Materials 24.3 19.0 25.1 23.8 Utilities 12.0 4.8 13.7 4.4 Healthcare 4.8 3.8 4.8 4.6 Energy 1.2 0.1 1.8 0.2 Other 0.5 0.2 0.2 0.2 Total 230.9 123.1 221.3 116.9 1 In accordance with the reporting standard (GICS). Market risk Market risk is the risk of loss or changes in future NII due to changes in, for example, interest rates, exchange rates, commodity prices or share prices. A distinction is made between market risk of non-market valued assets and liabilities and fair valued assets and liabilities. Market risk includes price risk in connection with sales of assets or the closing of exposures. Risk management SEK’s Board establishes SEK’s appetite and strategy for market risk, which clearly define and limit the permissible exposure to market risk. In addition, instructions established by the CEO regulate SEK’s management of market risks. The Chief Risk Officer decides on the method for measuring market risks and proposes changes in limit structures in connection with reviews of risk appetite and limits. Market risk exposures are measured and reported on a daily basis to the CEO, and the Board’s Finance and Risk Committee at scheduled meetings. Cases where limits are exceeded are escalated without delay to the CEO, and the Board’s Finance and Risk Committee. SEK borrows funds by issuing bonds or other debt instruments which, regardless of the market risk exposures in the bonds, are hedged by being swapped via derivatives to a floating interest rate. Borrowed funds are used either immediately for lending, mainly at floating interest rates, or alternatively through derivatives at a floating rate, or to ensure that SEK has adequate liquidity in the form of liquidity investments and liquidity reserves. The intention is to hold assets and liabilities to maturity. The duration of available funding matches that of lending and the maturity profile of liquidity investments is adapted to ensure that funds are available for all accepted but as yet undisbursed lending. Unrealized changes in fair value affect the value of SEK’s assets and liabilities and impact both earnings and SEK’s own funds. SEK’s largest net exposures are to changes in spreads, mainly to credit spreads associated with assets and liabilities and to cross-currency basis spreads. Spread risks are managed by having established limits and daily limit monitoring. Currency risk excluding unrealized changes in fair value is kept low by matching assets and liabilities in terms of currencies or through the use of derivatives. In addition, accrued gains and losses in foreign currency are regularly converted to Swedish kronor. The Company's risk appetite for market risk resulting from unmatched cash flows is low. Risk measurement The following describes how SEK calculates and limits market risk internally. The government compensates SEK for all interest-rate differentials, borrowing costs and net foreign-exchange losses within the CIRR-system (see note 1). The CIRR-system is therefore reported separately. Value at Risk and stressed Value at Risk SEK’s primary market risk metrics are stressed Value at Risk (sVaR) and Value at Risk (VaR). VaR is a statistical market risk metric which is based on two years of daily market movements and estimates the potential loss over a one-day horizon with a confidence level of 99 percent. Historical simulations are applied to current holdings to simulate possible outcomes of value changes. Market parameters used as risk factors are interest rates, cross-currency basis spreads, credit spreads, FX rates, equities, commodity and equity indices as well as volatilities of swaptions, caps/floors, equities, commodity and equity indices and currencies. VaR is calculated for SEK’s portfolio and separately for the liquidity portfolio for positions on the balance sheet that impact own funds. At year-end, VaR for own funds amounted to Skr 26 million (year-end 2019: Skr 18 million) and for the liquidity portfolio VaR was Skr 13 million (year-end 2019: Skr 10 million). The increase in VaR for own funds can be explained by increased market volatility during the beginning of the COVID-19 pandemic. The calculation of sVaR is done according to the VaR methodology, where the worst historical one-year period for the company is chosen. By the end of 2020 the calculation was based on the period July 2008 to June 2009 and amounted to to Skr 100 million (123). Aggregated risk measure and stress tests SEK conducts regular stress tests by applying movements in market factors that have been historically observed in the market (historical scenarios) and movements that could happen in the future (hypothetical or forward-looking scenarios). The aggregated risk measure is based on analyses of historical scenarios with a monthly risk horizon since 2007. The aggregated risk measure estimates the impact on SEK’s own funds by applying historically observed movements in interest rates, cross-currency basis spreads, FX rates and credit spreads in assets. The exposure is based on the worst case scenario and calculation is done by full revaluation. At year-end 2020, the worst scenario was market movements from October 2008. The risk at year-end 2020 amounted to Skr 445 million (year-end 2019: Skr 452 million). The forward-looking scenarios include interest rate chocks and reversed stress tests. Analyses of this type provide management with insight into the potential impact on SEK's operations of significant movements in risk factors, or of broader market scenarios, and also continuously ensure that the risk measurement is effective. Risk-speci |
Transactions with related parti
Transactions with related parties | 12 Months Ended |
Dec. 31, 2020 | |
Transactions with related parties | |
Transactions with related parties | Note 27. Transactions with related parties SEK defines related parties to the Parent Company and the Group as: the shareholder, i.e., the Swedish government The Swedish government owns 100 percent of the Company’s share capital. By means of direct guarantees extended by the Swedish Export Credits Guarantee Board, EKN, 39 percent (Year-end 2019: 38 percent) of the Company’s loans outstanding on December 31, 2020 were guaranteed by the Swedish government. The remuneration to EKN for the guarantees paid by SEK during 2020 amounted to Skr 26 million (2019: Skr 0 million). SEK administers, in return for compensation, the Swedish system for officially supported export credits (CIRR system), and the government’s previous concessionary credits system, refer to note 1 and note 24. SEK has a Skr 200 billion credit facility with the Swedish National Debt Office, which can be used for State’s export credit support (CIRR) or commercial export financing up to Skr 15 billion. In February 2021, the credit facility was extended for 2021. SEK has utilized Skr 10 billion of the credit facility by December 2020. SEK enters into transactions in the ordinary course of business with entities that are partially or wholly owned or controlled by the State. SEK also extends export credits, in the form of direct or pass-through loans, to entities related to the State. Transactions with such counterparties are conducted on the same terms, including interest rates and repayment schedules, as transactions with unrelated parties. The Group’s and the Parent Company’s transactions do not differ significantly. There are no internal transactions between the Parent Company and the subsidiary. For further information see Note 1 (b), Basis of consolidation and Note 15. Key management personnel include the following positions: The Board of Directors The Chief Executive Officer Other executive directors For information about remuneration and other benefits to key management personnel see note 5, Personnel expenses. Other related parties include close family members of key management personnel as well as companies which are controlled by key management personnel of SEK or controlled by close family members to key management personnel. The following tables further summarize the Group’s transactions with its related parties: 2020 Companies and organizations -controlled The shareholder, through a common owner, the Swedish government the Swedish government Total Interest Interest Interest income/ income/ income/ Assets/ interest Assets/ interest Assets/ interest Skr mn liabilities expense liabilities expense liabilities expense Cash 2,500 — — — 2,500 — Treasuries/government bonds 9,573 -21 — 0 9,573 -21 Other interest-bearing securities except loans — — — 2 — 2 Loans in the form of interestbearing securities — — 2,600 31 2,600 31 Loans to credit institutions — — 2,108 45 2,108 45 Loans to the public — — 1,025 27 1,025 27 Settlement claim against the State 1 12,359 — — — 12,359 — Total 24,432 -21 5,733 105 30,165 84 Borrowing from the public 10,000 — — — 10,000 10 Other liabilities 95 — — 10 95 — Total 10,095 — — 10 10,095 10 2019 Companies and organizations -controlled The shareholder, through a common owner, the Swedish government the Swedish government Total Interest Interest Interest income/ income/ income/ Assets/ interest Assets/ interest Assets/ interest Skr mn liabilities expense liabilities expense liabilities expense Cash — — — — — — Treasuries/government bonds 2,191 16 — — 2,191 16 Other interest-bearing securities except loans — — 600 -4 600 -4 Loans in the form of interestbearing securities — — 1,699 21 1,699 21 Loans to credit institutions — — 2,665 87 2,665 87 Loans to the public — — 2,056 53 2,056 53 Settlement claim against the State 1 9,124 — — — 9,124 — Total 11,315 16 7,020 157 18,335 173 Borrowing from the public — — — — — — Other liabilities 24 — — — 24 — Total 24 — — — 24 — 1 For information about “Settlement claim against State” see note 16 and note 24. |
Events after the reporting peri
Events after the reporting period | 12 Months Ended |
Dec. 31, 2020 | |
Events after the reporting period | |
Events after the reporting period | Note 28. Events after the reporting period Catrin Fransson has informed the Board of her intention to resign as CEO at SEK, which the Board accepted at January 15, 2021. She has a six month notice period, and will continue working in her present position until further notice. In February 2021, the Swedish parliament decided to extend the credit facility of Skr 200 billion, that SEK has in place with the Swedish National Debt Office, for 2021. |
Risk and capital management
Risk and capital management | 12 Months Ended |
Dec. 31, 2020 | |
Risk and capital management | |
Risk and capital management | Note 29. Risk and capital management Note 29 addresses significant aspects of SEK’s risk and capital management. For detailed descriptions, including quantitative information on SEK’s capital adequacy and its risk and capital management, refer to note 25 Capital adequacy and note 26 Risk information, respectively. For supplementary and expanded information, refer to the separate risk report, "Capital Adequacy and Risk Management Report - Pillar 3 2020", available at www.sek.se. Events in 2020 2020 has been dominated by the COVID-19 pandemic’s impact on the general economic outlook on export companies’ abilities to pursue their activities. Globally GDP decreased by 4.3 percent due to the pandemic, while in Sweden GDP decreased by 2.8 percent. The fact that GDP did not decrease more is likely due to the major financial rescue packages that have been initiated globally during the year in order to mitigate the economic consequences of the pandemic. The Swedish economy and Swedish export companies have managed well under the current circumstances and SEK has therefore not reported any substantial incurred credit losses. However, reserves for expected credit losses have increased but not in a magnitude which has hindered SEK from continuing lending to its customers in accordance with their needs. During the year, credit volumes reached a record high, which has meant that SEK has been able to refinance its relatively large disbursements related to new lending. Market conditions have varied during the year but the financial markets have been surprisingly strong given the general economic situation. This is probably due to the rescue packages mentioned earlier. At the end of 2020, positive news regarding development of several effective vaccines against COVID-19 and a clear outcome in the U.S. presidential election have helped to stabilize the markets even though the increase in the spread of infections and the delay in the Brexit negotiations had an opposite effect. SEK’s capital adequacy has improved in 2020. At the end of the year, the total capital ratio was 21.8 percent (2019: 20.6 percent), of which the Tier 1 capital ratio and the Common Equity Tier 1 ratio amounted to 21.8 percent (2019: 20.6 percent). The increase was primarily due to decreased risk in the liquidity portfolio, strengthening of the Swedish krona against USD and EUR and increased own funds. Increased lending volumes had a counteracting effect. SEK’s total exposures increased since the end of 2019 as a result of increased lending volumes, with net exposures primarily increasing towards central governments and corporates. The leverage ratio amounted to 5.8 percent (2019: 5.7 percent) at year end. SEK’s largest financial risks are credit risk (Skr 6.1 billion (2019: Skr 7.3 billion) in allocated capital), market risk (Skr 1.1billion (2019: Skr 1.1 billion) in allocated capital) and operational risk (Skr 0.2 billion (2019: Skr 0.2 billion) in allocated capital) in line with internally assessed capital adequacy. The minimum requirement for own funds and eligible liabilities (MREL) is 7.0 percent (the corresponding requirement for 2020: 7.2) of total liabilities and own funds. SEK meets these requirements since a portion of the senior debt can be included at present. Under currently applicable Swedish legislation, SEK needs to issue at least Skr 12 billion in Senior non-preferred (SNP) debt before 2024, said debt being subordinate to other senior debt (senior preferred). SEK’s liquidity was fairly stable during the year but with a volatile market during the beginning of the COVID-19 pandemic in the latter part of the first quarter and in the second quarter. Capacity for managing operational and structural liquidity risk has been good. This was confirmed by new lending capacity, which has been at a high level and amounted to 3 months (2019: 5 months), and by the liquidity coverage ratio (LCR), which was 447 percent (2019: 620 percent) at year end. The net stable funding ratio (NSFR) amounted to 135 percent (2019: 120 percent) at year end. Following the early COVID crisis, the risk level regarding market risk in SEK's portfolio has been reduced, which is reflected in a reduction in stressed VaR for positions that impact own funds. Capital target The Company’s capital target, which is one of the principal control instruments, is established by the Swedish Government at a general meeting of the shareholders. The capital target is designed to ensure that SEK has sufficient capital to support its strategy and that regulatory requirements are met, even in the event of deep economic declines. In addition, SEK’s own funds must also cover the volatility that may be expected under normal conditions. The capital target is for SEK's total capital ratio to amount to between two (2) and four (4) percentage points over the requirement communicated by Finansinspektionen (the Swedish FSA). Moreover, SEK's Common Equity Tier 1 ratio is in total at least four (4) percentage points above the requirement communicated by the Swedish FSA. In accordance with the Swedish FSA’s latest published capital evaluation SEK was required to have a total capital ratio and a CET1 ratio of 14.7 percent and 9.8 percent, respectively (2019: 16.4 percent and 11.5 percent respectively). The decrease in requirements is mainly related to the Swedish Financial Supervisory Authority in 2020 having lowered the countercyclical buffer rate that is applied to exposures located in Sweden from 2.5 percent to 0.0 percent. This measure lowered SEK´s capital requirements by approximately 1.8 percent. The requirements should be compared with a total capital ratio and CET1 ratio on December 31, 2020 of 21.8 percent (December 31,2019: 20.6 percent). Since SEK's Total capital ratio exceeds the Swedish FSA's total capital requirements, this means that SEK exceeds the lower limit of the capital target. The outcome, however, exceeds the upper limit in the capital target, which is explained by SEK's need to have extra capital resources in place for new lending during the pandemic together with the lowering of the countercyclical buffer rate. Core risk management principles SEK must be selective in its choice of counterparties and clients in order to ensure a strong credit rating. SEK only lends funds to clients who have successfully undergone SEK’s procedure for gaining understanding of the customer and its business relations (know your customer), and have a business structure that complies with SEK’s mission of promoting the Swedish export industry. The business operations are limited to financial solutions and positions that the Company has approved and has procedures for, whose risks can be measured and evaluated and where the Company complies with international sustainability risk guidelines. SEK’s liquidity strategy entails that the Company secures financing that, at the very least, has the same maturities as the funds that it lends. Risk appetite The Board decides on the Company’s risk appetite, which is to encompass all of the Company’s significant risk classes and to express the outer limits for the business operations. The risk appetite must specify the risk measurements that, in the opinion of the Board, provide information that is sufficient for the members of the Board to be well versed in the type and scope of the Company’s risks. The risk appetite is strongly connected to the Company’s loss capacity and thus to its equity. At least on a quarterly basis, the Board is provided with a comprehensive update of the risk exposures’ relationship to the risk appetite. Refer also to the “SEK’s risks and risk management” section, where the risk appetite by risk class is described in detail. SEK’s risk framework Effective risk management and control in SEK are based on a sound risk culture, a shared approach and a well-functioning control environment. SEK emphasizes the importance of high risk awareness among personnel and an understanding of the importance of preventive risk management to, thereby, keep risk exposure within the determined level. SEK also has a risk framework (see the Risk Framework illustration). The structure of the risk framework is ultimately governed by SEK’s mission from its owner, the Swedish government, and SEK’s business model. The capital target constitutes the outer boundary for SEK’s strategy. Within the restrictions of the capital target, risk appetite is stated, which is expressed by risk class and comprises the risk to which the Board is prepared to expose SEK in order to achieve its strategic objectives. Risk governance is specified in the form of a risk strategy, a risk policy, in SEK’s risk culture, and in instructions, processes and limits. These policy documents describe the risk management process and define what activities and operations are included in the process, and how they should be performed. The policy documents also indicate how responsibility is structured in terms of the execution of, monitoring of and compliance with risk management. Risk governance The Board of Directors has ultimate responsibility for governing and monitoring risk exposure and risk management, and for ensuring satisfactory internal control. The Board determines the overall risk governance by taking decisions on such matters as risk appetite and risk strategy. The Board also decides on risk policies and on matters of considerable importance to granting of credit. For a detailed description of the Board of Directors’ rules of procedure, refer to the Corporate Governance Report. SEK has organized risk management and risk control in accordance with the principle of three lines of defense in the form of clear-cut separation of responsibility between the commercial and support operations that own the risks, the control functions that independently identify and monitor the risks and an internal audit function, which reviews the control functions; see diagram below. Risk management process The Company’s risk management process encompasses: identification, measurement, management, reporting, control and monitoring of those risks with which the business is associated and for which SEK has formulated internal controls with this purpose in mind. SEK’s risk management process consists of the following key elements: Risk identification — at any given time, SEK must be aware of the risks to which it is or can be exposed. Risks are identified, primarily in new transactions, in external changes in SEK’s operating environment or internally in, for example, products, processes, systems and through annual risk analyses that include all aspects of SEK. Both forward-looking and historical analyses and testing are performed. Measurement — the size of the risks is measured on a daily basis in respect of significant measurable risks or is assessed qualitatively as frequently as necessary. For those risks that are not directly measurable, SEK evaluates the risk according to models that are based on SEK’s risk appetite for the respective risk class, specifying appropriate scales of probability and consequence. Governance — SEK aims to oversee the development of business, actively utilize risk-reduction capabilities and control the development of risks over time to ensure that the business activities are kept within the risk appetite and limits. SEK also plans and draws up documentation to ensure the continuity of business-critical processes and systems and that planning is carried out for crisis management. Exercises and training regarding the management of situations that require crisis and/or continuity planning are performed continuously. Reporting — the Company reports on the current risk situation, on the use of capital and on related matters to the CEO, the Finance and Risk Committee and the Board, at least once each quarter. Control and monitoring — SEK checks and monitors compliance with capital targets, risk appetite, limits, risk management and internal and external regulations to ensure that risk exposures are kept at an acceptable level for SEK and that risk management is effective and appropriate. Internal capital and liquidity assessment processes The internal capital adequacy assessment process is an integral part of SEK’s strategic planning. The purposes of the internal capital adequacy assessment process are to ensure that SEK has sufficient capital to meet its regulatory requirements under both normal and stressed financial conditions and to support SEK’s high credit rating. The capital kept by SEK must be sufficient in relation to the risks that SEK has, or can be exposed to. The capital adequacy assessment is based on SEK’s internal assessments of the risks and their development, as well as assessments of risk measurement models, risk governance and risk management. It is integrated into business planning and forms the foundation for SEK’s strategy for maintaining an adequate level of capital. Capital adequacy assessments are conducted at least for the forthcoming three-year period. In addition to the internal capital adequacy assessment process, an in-depth liquidity analysis is performed. During the planning period, the liquidity requirement and its composition in terms of liquidity requirements for different currencies, among other items, are evaluated to ensure the Company has adequate liquidity to implement the business plan and meet regulatory requirements. To arrive at an adequate capitalization level that also applies under stressed financial conditions, an analysis is conducted of how capitalization is affected by stress in global financial markets, as well as of other factors that impact SEK’s business model and net risk exposure. When SEK performs the internal capital adequacy assessment, it applies methods other than those used for the Swedish FSA’s capital requirement. The assessment is based on SEK’s internal calculation of economic capital, which captures all of the specific risks to which SEK’s operations are exposed, even risks over and above those included in the Swedish FSA’s capital requirement. For example, for credit risk, economic capital is based on a quantitative approach whereby Value at Risk (VaR) is calculated at a confidence level of 99.9 percent. This quantitative estimate is performed using a simulation-based tool that produces a probability distribution of the value of the credit portfolio over a defined time horizon (usually one year). In addition to the internal capital adequacy assessment, SEK also estimates the total capital requirement as set for SEK by the Swedish FSA in its annual review and evaluation process. The capital adequacy assessment estimated by the Swedish FSA is a minimum requirement for SEK’s own funds. During 2020, the Swedish FSA has published amended rules and a change in the application of banks' capital requirements. The changes result from the implementation of the EU's Banking Package. These changes mean, among other things, that the Swedish FSA must decide on a Pillar 2 requirement and announce Pillar 2 guidance for the capital it believes institutions should hold above the capital requirement to cover risks and future financial stresses. The Swedish FSA will also announce an additional leverage ratio requirement in addition to the minimum requirement, in the form of Pillar 2 guidance. Both Pillar 2 guidelines will be institution specific and non-binding. Decisions on Pillar 2 requirements and notification of Pillar 2 guidance will be announced after the first evaluation and review which will take place after the entry of the amended supervision act. In SEK’s assessment, SEK has own funds that comfortably exceed both the internally estimated need of own funds and the total capital requirement calculated by the Swedish FSA. For supplementary and expanded information, refer to the separate risk report, “Capital Adequacy and Risk Management Report — Pillar 3 2020”, available at www.sek.se. Detailed risk statement Risk class Risk management Risk profile Risk appetite Proportion of Economic capital Credit risk Credit risk is the risk of losses due to the failure of a credit (or an arrangement similar to that of a credit) to be fulfilled. Credit risk is divided into issuer risk, counterparty risk, concentration risk, settlement risk and country risk (including transfer risk). Lending must be based on in-depth knowledge of SEK’s counterparties as well as counterparties’ repayment capacity. Lending must also be aligned with SEK’s mission based on its owner instruction. SEK’s credit risks are mitigated through a risk-based selection of counterparties and managed through the use of guarantees and other types of collateral. Furthermore, SEK’s lending is guided by the use of a normative credit policy, specifying principles for risk levels and lending terms. Concentrations that occur naturally as a result of the Company’s mission are accepted, but the Company continuously works towards reducing the risk of concentration where this is possible. SEK’s lending portfolio is of a high credit quality. The Company’s mission naturally entails certain concentration risks, such as geographical concentration risk in Sweden. The net risk is principally limited to counterparties with high creditworthiness, such as export credit agencies (ECAs), major Swedish exporters, banks and insurers. SEK invests its liquidity in high credit quality securities, primarily with short maturities. Moderate (SEK’s risk appetite for credit risk is higher than other risks.) 58.4% Liquidity risk Liquidity and refinancing risk is the risk, within a defined period of time, of the company not being able to refinance its existing assets or being unable to meet the need for increased liquidity. Liquidity risk also includes the risk of having to borrow funds at unfavorable interest rates or needing to sell assets at unfavorable prices in order to meet payment commitments. Liquidity risk encompasses refinancing risk and market liquidity risk. SEK must have diversified funding to ensure that funding is available through maturity for all credit commitments — credits outstanding as well as agreed but undisbursed credits. The size of SEK’s liquidity investments must ensure that new lending can take place even during times of financial stress. SEK has secured funding for all its credit commitments, including those agreed but not yet disbursed. In addition, the size of SEK’s liquidity investments allow new lending to continue at a normal pace, even during times of stress. As a consequence of SEK having secured funding for all its credit commitments, the remaining term to maturity for available funding is longer than the remaining term to maturity for lending. Low - Market risk Market risk is the risk of loss or change in future net income resulting from, for example, changes in interest rates, exchange rates, commodity prices or share prices. Market risk includes price risk in connection with sales of assets or the closing of exposures. SEK conducts no active trading. The core of SEK’s market risk strategy is to borrow funds in the form of bonds which, regardless of the market risk exposures in the bonds, are hedged by being swapped to a floating interest rate. Borrowed funds are used either immediately for lending, mainly at a floating rate of interest, or swapped to a floating rate, or to ensure that SEK has sufficient liquidity. The aim is to hold assets and liabilities to maturity. SEK’s business model leads to exposure mainly to spreads, interest-rate risk and currency risk. SEK’s largest net exposures are to changes in spreads, mainly to credit spreads associated with assets and liabilities and to cross-currency basis spreads. Low 10.9% Operational risk Operational risk is the risk of losses resulting from inappropriate, inadequate or faulty internal processes or procedures, systems, human error, or from external events. Operational risk includes legal, IT and information security risk. SEK manages operational risk on an ongoing basis, mainly through efficient internal control procedures, performing risk analysis before changes, a focus on continuous improvements and business continuity management. Costs to reduce risk exposures must be in proportion to the effect that such measures have. Operational risks arise in all parts of the business. The vast majority of incidents that have occurred are minor events that are rectified promptly within each function. Overall operational risk is low as a result of effective internal control measures and a focus on continuous improvement. Low 1.9% Compliance risk Compliance risk is the risk of failure to meet obligations pursuant on the one hand to legislation, ordinances and other regulations, and on the other hand to internal rules. Compliance risk includes the risk of money laundering and financing of terrorism. SEK works continuously to develop tools and knowledge to help identify the company’s compliance risks. The company analyses and monitors compliance risks with the intention of continuously reducing the risk of non-compliance with regulations pertaining to operations requiring permits. SEK’s operations lead to exposure to the risk of failing to comply with current regulatory requirements and ordinances in markets in which the company operates. Low - Business and strategic risk Strategic risk is the risk of lower revenue because strategic initiatives fail to achieve the pursued results, inefficient organizational changes, improper implementation of decisions, unwanted effects from outsourcing, or the lack of adequate response to changes in the regulatory and business environment. Strategic risk focuses on large-scale and structural risk factors. Business risk is the risk of an unexpected decline in revenue resulting from, for example, changes to competitive conditions with a decrease in volumes and/or falling margins. SEK’s executive management is responsible for identifying and managing strategic risks and monitoring the external business environment and developments in the markets in which SEK conducts operations and for proposing the strategic direction to the Board. A risk analysis in the form of a self-assessment concerning strategic risk is to be conducted each year. SEK’s strategic risks mainly arise through changes in the external operating environment, such as market conditions, which could result in limited lending opportunities for SEK, and regulatory reforms from two perspectives: (1) the impact of these reforms on SEK’s business model; and (2) the requirements on the organization resulting from increased regulatory complexity. Low to moderate - Sustainability risk Sustainability risk is the risk that SEK’s operations directly or indirectly impact their surroundings negatively with respect to business ethics, corruption, climate and the environment, human rights and labor conditions. Human rights includes the child rights perspective; labor conditions encompasses gender equality and diversity; and ethics includes tax transparency. Sustainability risks are managed according to a risk-based approach. In cases of heightened sustainability risk, a detailed sustainability review is performed and measures could be required in order to mitigate environmental and social risks. Requirements are based on national and international regulations and guidelines within the areas of environment and climate, anti-corruption, human rights including labor conditions and business ethics including tax. SEK is indirectly exposed to sustainability risks in connection to its lending activities. High sustainability risks could occur in financing of large projects or businesses in countries with high risk of corruption or human rights violations. Low to moderate - |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Significant accounting policies | |
Basis of presentation | (b) Basis of presentation (i) Statement of compliance The consolidated accounts have been compiled in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB). The IFRS standards applied by SEK are all endorsed by the European Union (EU). Additional standards, consistent with IFRS, are imposed by the Swedish Annual Accounts Act for Credit Institutions and Securities Companies (1995:1559) (ÅRKL), Recommendation RFR 1, Supplementary Accounting Principles for Groups, issued by the Swedish Financial Reporting Board (RFR), and the accounting regulations of the Swedish FSA (FFFS 2008:25), all of which have been complied with in preparing the Consolidated Financial Statements, of which these notes form a part. SEK also follows the Swedish Government’s principles for external reporting in accordance with its State Ownership Policy and principles for state-owned enterprises. The Consolidated Financial Statements were approved for issuance by SEK’s Board of Directors on February 18, 2021. The Group’s Statements of Comprehensive Income and Financial Position will be subject to approval by SEK’s shareholder at the Annual General Meeting to be held on March 24, 2021. (ii) Basis of measurement The Consolidated Financial Statements have been prepared on an amortized cost basis, subject to the following exceptions: (iii) Functional and presentation currency SEK has determined that the Swedish krona (Skr) is the Parent Company’s functional and presentation currency under IFRS. Significant factors are that SEK’s equity is denominated in Swedish kronor, its performance is evaluated based on a result expressed in Swedish kronor, and that a large portion of SEK’s expenses, especially personnel expenses, other expenses and taxes, are denominated in Swedish kronor. SEK manages its foreign currency risk by hedging exposures between the Swedish kronor and other currencies. (iv) Going concern SEK’s Board of Directors and management have made an assessment of SEK’s ability to continue as a going concern and are satisfied that SEK has the resources to continue operations for the foreseeable future. The Board of Directors and management are not aware of any material uncertainties that could cast significant doubt upon SEK’s ability to continue as a going concern. Therefore, the Financial Statements continue to be prepared on a going-concern basis. |
Changes to accounting policies and presentation | (c) Changes to accounting policies and presentation In all significant respects, the accounting policies, bases of calculation and presentation are unchanged compared with the 2019 annual report, except for the changes described below. In addition to the changes below, certain amounts reported in prior periods have been restated to conform to the current presentation. SEK analyzes and assesses the application and impact of changes in financial reporting standards that are applied within the Group. Changes that are not mentioned are either not applicable to SEK or have been determined to not have a material impact on SEK’s financial reporting. (i) Changed accounting of revenues and expenses in the CIRR system As of the fourth quarter of 2020, SEK reports interest income and interest expenses relating to assets and liabilities attributable to the CIRR system in SEK’s statement of comprehensive income The previous accounting principle was to not report these in SEK’s statement of comprehensive income, but only to report the administrative compensation from the Swedish government, the arrangement fee income when SEK is arranging the credits, and interest income from loans between SEK and CIRR-system. The new policy means that all revenue and expenses from the CIRR-system is recognized in SEK's profit or loss. The new policy does not impact the treatment of assets and liabilities related to the CIRR-system in the Group's statement of financial position and balance sheet, and thus, as previously, all assets and liabilities related to the CIRR-system have been included in SEK’s assets and liabilities in the Group’s statement of financial position as SEK bears the credit risk for lending and is a contracting party regarding lending and borrowing. The new presentation makes it easier for the reader to understand the return on SEK’s assets and costs for SEK’s liabilities. The change has no impact on SEK's net interest income or net profit, but only affects interest income and interest expenses. The comparative figures have been recalculated and the change, as well as the impact in 2020, is shown in the table below. Impact on statement of comprehensive income Full year 2020 Skr mn Old policy Change New policy Interest income calcucated using the effective interest method 3,495 1,465 4,960 Other interest income 384 -1,236 -852 Interest expenses -1,933 -229 -2,162 Net interest income 1,946 — 1,946 Impact on net profit for the period — — — Full year 2019 Skr mn Old policy Change New policy Interest income calcucated using the effective interest method 5,187 516 5,703 Other interest income 896 -242 654 Interest expenses -4,366 -274 -4,640 Net interest income 1,717 — 1,717 Impact on net profit for the period — — — Full year 2018 Skr mn Old policy Change New policy Intrest income calucated using the effective interest method 4,390 476 4,866 Other interest income 763 -263 500 Interest expenses -3,711 -213 -3,924 Net interest income 1,442 — 1,442 Impact on net profit for the period — — — (ii) Changes in Swedish regulations The Swedish Financial Reporting Board has amended the accounting recommendation for legal entities by issuing “RFR 2 Supplementary Accounting Rules for Legal Entities – January 2020”. SEK implemented those amendments on January 1, 2020 but they have not had any significant impact on SEK’s Financial Statements. |
Basis of consolidation | (d) Basis of consolidation The Consolidated Financial Statements encompass the Parent Company and subsidiaries, meaning companies over which the Parent Company has control and that are impacted by the Company’s results. The Consolidated Financial Statements have been prepared using the purchase method. The Financial Statements of the subsidiary are included in the Consolidated Financial Statements from the date that control commences until the date that control ceases. The accounting policies of the subsidiary are consistent with Group policies. Intra-group transactions and balances, and any unrealized gains and losses arising from intra-group transactions, are eliminated in preparing the Consolidated Financial Statements. Unless otherwise stated or when it is clear from the context, the information in these notes relates to the Consolidated Group and the Parent Company. Consolidation of SEK pursuant to the supervisory regulations does differ from the consolidation made in the Consolidated Financial Statements, as SEKETT AB is not a financial company and no consolidation of SEK pursuant to the supervisory regulation was made. Since SEKETT is not an institute pursuant to the CRR definition, it is not subject to the supervisory regulations on an individual basis. No current or anticipated material restrictions to prompt transfer of own funds or repayment of liabilities among the parent or its subsidiary have been identified. |
Segment reporting | (e) Segment reporting Segments are identified based on internal reporting to the chief executive officer (“CEO”) who serves as the chief operating decision maker. SEK has one segment, lending, based partly on the Company’s assignment from the owner, which is to ensure access to financial solutions for the Swedish export industry on commercial and sustainable terms, and partly on how governance and earnings monitoring of the business are conducted. Accordingly, no segment reporting has been prepared. Disclosures regarding the geographic breakdown and revenue per product group are presented in note 2. |
Recognition of operating income | (f) Recognition of operating income (i) Net interest income Interest income and interest expense related to all financial assets and liabilities, regardless of classification, are recognized in net interest income. Interest income and interest expense are recognized on a gross basis, with the exception of interest income and interest expenses related to derivatives, which are reported on a net basis. Interest for derivatives used to hedge borrowing is recognized as interest expense and interest on all derivatives used to hedge assets is recognized as interest income, regardless of whether the contracts’ net interest is positive or negative. This reflects the real interest expense of borrowing after taking economic hedges into account. Negative interest rates on assets are recognized as interest expense and negative interest rates on liabilities are recognized as interest income. Interest income calculated using the effective interest method presented in SEK’s Financial Statements applies only to those assets that are subsequently measured at amortized cost and the interest for hedging instruments related to those assets as the effective interest method is a measurement technique whose purpose is to calculate amortized cost and allocate interest income over the relevant time period. This interest income and corresponding interest expense are calculated and recognized based on the effective interest rate method or based on a method that results in interest income or interest expense that is a reasonable approximation of the result that would be obtained using the effective interest method as the basis for the calculation. The effective interest rate is regarded as an integral part of the effective interest rate of a financial instrument (usually fees received as compensation for risk). The effective interest rate is equivalent to the rate used to discount contractual future cash flows to the carrying amount of the financial asset or liability. The item Other interest income covers interest income of financial assets at fair value through profit or loss and the remuneration for the CIRR-system. In addition to interest income and interest expense, net interest income, where these are recognized as interest expense, includes the resolution fee and guarantee commissions that are comparable to interest. Pursuant to the Company’s assignment as stated in its owner instruction issued by the Swedish government, SEK administers credit granting in the Swedish system for officially supported export credits (the “CIRR-system”). SEK receives compensation from the Swedish government in the form of an administration fee, which is calculated based on the principal amount outstanding. The administrative compensation received by SEK from the Swedish government is recognized as part of interest income in SEK’s Statement of Comprehensive Income since the commission received in compensation is equivalent to interest. (ii) Net fee and commission expense Commissions earned and commissions incurred are recognized as net fee and commission expense in SEK’s Statement of Comprehensive Income. The gross amounts of commissions earned and commissions incurred are disclosed in the notes to the Financial Statements. The major part of the revenues classified as commission earned constitutes revenue from contracts with customers according to IFRS 15. The recognition of commissions earned depends on the purpose for which the fee is charged. Fees are either recognized as revenue when services are performed or accrued over the period of a specific business transaction. Lending fees that are not part of the effective interest of a financial instrument are recognised at a point of time, such as when the transaction has been performed. Commissions incurred are transaction-based, and are recognized in the period in which the services are received. Guarantee commissions that are comparable to interest and fees that comprise integrated components of financial instruments, and therefore included in the effective interest rate, are not recognized as commissions and are instead included under net interest income. (iii) Net results of financial transactions Net results of financial transactions include realized gains and losses related to all financial instruments and unrealized gains and losses on all financial instruments measured at fair value, except for the types of financial instruments for which the change is to be recognized in other comprehensive income. Gains and losses include gains and losses related to currency exchange effects, interest-rate changes, changes in basis-spreads and changes in the credit rating of the counterparty to the financial contract. The item also includes the hedge ineffectiveness, i.e., market value changes attributable to hedged risks and derivatives in fair-value hedges. Realized gains and losses from financial instruments measured at amortized cost, such as interest rate compensation received and realized gains/losses from the repurchase of issued own debt, are recognized as they arise directly under net results of financial transactions. |
Foreign currency transactions | (g) Foreign currency transactions Monetary assets and liabilities in foreign currencies have been translated into the functional currency (Swedish krona) at the exchange rates applicable on the last day of each reporting period. Revenues and costs in foreign currencies are translated into Swedish kronor at the exchange rate prevailing on the dates that they arise. Any changes in the exchange rates between the relevant currencies and the Swedish krona relating to the period between the dates that they arise and the date of settlement are recognized as currency exchange effects. Currency exchange effects on the nominal amounts of financial assets and liabilities measured at fair value are recognized as currency exchange effects, although the currency exchange effect on the change in fair value that arises due to other components is not separated. Currency exchange effects are included as a component of net results of financial transactions. |
Financial instruments | (h) Financial instruments (i) Recognition and derecognition in the Statement of Financial Position When recognizing financial instruments, trade date accounting is applied for the recognition and derecognition of securities bought, securities issued and derivatives. Other financial instruments are recognized in the Statement of Financial Position and derecognized from this on the relevant settlement date. The difference between the carrying amount of a financial liability or an asset (or part of a financial liability or an asset) that is extinguished or transferred to another party and the consideration paid is recognized in the Statement of Comprehensive Income under net results of financial transactions. A financial asset or liability is recognized in the Statement of Financial Position only when SEK becomes a party to the contractual provisions of the instrument. A financial asset is derecognized from the Statement of Financial Position when the contractual rights to receive the cash flows from the asset cease or when the asset is transferred and the transfer qualifies for derecognition. A financial liability (or part of a financial liability) is derecognized from the Statement of Financial Position only when it is extinguished, such as when the obligation specified in the contract is discharged, canceled or expires. In the case of renegotiated financial assets, such as lending, the asset is derecognized from the Statement of Financial Position when the terms of the loan are deemed to be substantially different. The terms are deemed to be substantially different when the present value of the cash flows under the new terms, including any fees paid net of any fees received and discounted using the original effective interest rate, differs by not less than 10 percent from the discounted present value of the remaining cash flows for the original debt instrument. A change of currency or counterparty are deemed substantially different terms. Should the renegotiated loan entail terms that are substantially different, it is recognized as a new loan. (ii) Measurement on initial recognition When financial instruments are initially recognized, they are measured at fair value plus, in the case of financial assets or financial liabilities not carried at fair value through profit or loss, any transaction costs that are directly attributable to the acquisition or issuance of the financial asset or financial liability. (iii) Offsetting Financial assets and liabilities are offset and presented in the Statement of Financial Position when the Group has a legal right to offset the amounts and intends either to settle on a net basis or to realize the asset and settle the liability simultaneously. Derivative assets and derivatives liabilities in relation to central clearing counterparties are offset in the Consolidated Statement of Financial Position, but cash collateral received or paid is accounted for separately as paid or received cash collaterals. Refer to note 14 for further information about the offsetting of financial assets and financial liabilities. (iv) Classification of financial assets and liabilities Financial assets and liabilities are categorized in two categories for valuation purposes: amortized cost (“AMC”) and fair value through profit or loss (FVTPL). Financial assets at amortized cost (AMC). The balance sheet items Cash and cash equivalents, Loans to credit institutions, Loans to the public and Loans in the form of interest-bearing securities are recognized at amortized cost, provided that the following criteria are met by all assets: The financial asset is included in a portfolio where the business model aims to collect contractual cash flows and the terms and conditions for the financial asset entail that the cash flows received comprise solely payments of principal and interest (SPPI) on nominal amounts outstanding. The business model is based on SEK’s overriding portfolio objective, and on how the Company manages, monitors and evaluates the financial assets in the portfolio from both a business and a risk perspective. The business model is established at a level (homogenous portfolio) that reflects how the asset is treated in relation to the objective/business goal. The following parameters have been evaluated in relation to the liquidity portfolio: Internal targets and governance of the liquidity portfolio, and documentation thereof; Administration and commercial follow-up; Risk management, follow-up and reporting; Frequency, objective and volume in terms of noted sales; and Remuneration models, and how these are impacted by valuation methods. IFRS 9 requires that SEK categorize financial assets based on the properties of the contractual cash flows, where the financial asset is held in a business model with the objective of holding assets to collect contractual cash flows (hold to collect). The assessment of the properties of the contractual cash flows aims to identify if the contractual cash flows comprise solely payments of principal and interest, which is an SPPI test. Contractual cash flows that solely payments of principal and interest qualify as a basic lending arrangement, which is a prerequisite for measuring the instrument at amortized cost. SEK has prepared a tool for the implementation and documentation of evaluations and assessments of financial assets in the lending portfolios, whereby relevant factors are taken into consideration, such as the tenor of the interest rate in relation the interest-rate setting period, interest-rate cap/floor, index-linked coupon/interest, payment trigger, currency mismatch, government interest rates and early repayment. Financial assets measured at fair value through profit or loss (FVTPL). Derivatives are measured at FVTPL. Interest-bearing securities included in SEK’s liquidity investments, consisting of the balance-sheet items Treasuries/government bonds and Other interest-bearing securities except loans, are measured at fair value (FVTPL) and, accordingly, they are included in a portfolio, where the business model entails measurement at fair value. Financial assets measured at fair value through profit or loss (FVTPL) are recognized at fair value in the Statement of Financial Position. Changes in fair value are recognized in profit or loss under the item Net results of financial transactions. Financial liabilities measured at fair value through profit or loss (FVTPL). There are two main subcategories in the category of financial liabilities at fair value through profit or loss: financial liabilities designated upon initial recognition at fair value through profit or loss (FVO) and financial liabilities mandatorily measured at fair value. Securities issued by SEK containing embedded derivatives are in their entirety irrevocably classified as financial liabilities at fair value through profit or loss. Derivatives are measured at FVTPL. Financial liabilities measured at fair value through profit and loss are recognized at fair value in the Statement of Financial Position. Changes in fair value are recognized in profit or loss under the item Net results of financial transactions with the exception of gains and losses that arise from changes in SEK’s own credit risk on liabilities classified in accordance with FVO. Such changes are recognized in the Reserve for changes in own credit risk under Other comprehensive income and are not reclassified to profit or loss. Financial liabilities at amortized cost (AMC). All debt securities issued by SEK other than those classified as financial liabilities at fair value through profit or loss are measured at amortized cost, using the effective interest rate method. Where one or more derivative is used to hedge currency, interest rate and/or other exposures, fair-value hedge accounting is applied. Subordinated debt is classified as other financial liabilities and is subject to fair-value hedge accounting. When applying fair-value hedge accounting on subordinated debt, hedging is applied to the subordinated debt for the period corresponding to the derivative’s time to maturity, when the maturities do not coincide. (v) Presentation of certain financial instruments in the Statement of Financial Position The presentation of financial instruments in the Statement of Financial Position differs in certain respects from the categorization of financial instruments made for valuation purposes. Loans in the form of interest-bearing securities comprise loans granted to customers that are contractually documented in the form of interest-bearing securities, as opposed to bilateral loan agreements, which are classified in the Statement of Financial Position either as loans to credit institutions or loans to the public. All other financial assets that are not classified in the Statement of Financial Position as loans in the form of interest-bearing securities are presented as cash and cash equivalents, treasuries/government bonds, other interest-bearing securities except loans or derivatives. (vi) Presentation of certain financial instruments Derivatives. In the ordinary course of its business, SEK uses various types of derivatives for the purpose of hedging or eliminating SEK’s interest-rate, currency-exchange-rate or other exposures. Derivatives are classified as financial assets or liabilities at fair value through profit or loss. Where SEK decides to categorize a financial liability at fair value through profit or loss (FVO), the purpose is to avoid the mismatch that would otherwise arise from the fact that the changes in the value of the derivative, measured at fair value, would not match the changes in value of the underlying liability, measured at amortized cost. Guarantees. SEK holds financial guarantees in connection with certain loans. Such guarantees are ordinarily accounted for as guarantees in accordance with SEK’s established accounting policy and are therefore not recognized in the Consolidated Statement of Financial Position except for the deferred costs of related guarantee fees paid in advance for future periods. When SEK classifies a risk-mitigating instrument as a financial guarantee, SEK always owns the specific asset whose risk the financial guarantee mitigates and the potential amount that SEK can receive from the counterparty under the guarantee represents only the actual loss incurred by SEK related to its holding. Premiums on financial guarantees are accrued and recognized as interest expense in net interest income. Credit default swaps are recognized at fair value at fair value through profit or loss. Embedded derivatives. In the ordinary course of its business, SEK issues financial liabilities that frequently contain embedded derivatives. When financial liabilities contain embedded derivatives, where the financial characteristics and risks of the instrument’s unique components are not related, the entire instrument is irrevocably classified as financial liabilities measured at fair value through profit or loss (FVO), and thus does not separate the embedded derivatives. Leasing assets (SEK as a lessor). In the ordinary course of its business, SEK acquires leases that are classified as finance leases (as opposed to operating leases). When making such a classification, all aspects of the leasing contract, including third-party guarantees, are taken into account. Any lease payment that is received from a lessee is divided into two components for the purposes of measurement: one component constituting a repayment of the loan and the other component recognized as interest income. Lease liability (SEK as a lessee). All leases, with the exception of short-term and low-value leases, are to be recognized as right-of-use assets subject to depreciation with corresponding liabilities in the lessee's balance sheet, and the lease payments are to be recognized as repayments and interest expenses. The leasing liability is accounted for under Other liabilities. The lease term is determined as the non-cancellable period of a lease, together with any extension or termination options when SEK is reasonably certain to exercise them. Reassessments of extensions and terminations options are made upon the occurrence of either a significant event or a significant change in circumstances that is within the control of SEK and will affect the assessment of whether it is reasonably certain to exercise the option. The lease term is revised if there is a change in the non-cancellable period of lease, for example, if an option not previously included in the lease term is exercised. The lease liability consists of the future cash flows, which are discounted using SEK's incremental borrowing rate. SEK has also decided to apply the exceptions for short-term and low-value leases, for example office machinery, which are accounted for as leasing cost under other administrative expenses. SEK has elected not to separate non-lease components from lease components, and accounts for each lease component and any associated non-lease component, except for expenses for real estate tax and non-deductible value added tax, as a single lease. Committed undisbursed loans and binding offers. Committed undisbursed loans and binding offers, disclosed under the heading “Commitments” in note 24 are measured as the undiscounted future cash flows concerning loan disbursements related to loans committed but not yet disbursed at the reporting period end date, as well as binding offers. Repurchased debt. SEK repurchases its own debt from time to time. Gains or losses that SEK realizes when repurchasing own debt instruments are recognized in the Statement of Comprehensive Income as a component of Net results of financial transactions. Assets and liabilities related to the CIRR system. All assets and liabilities related to the CIRR-system are included in SEK's assets and liabilities in the Group's report on financial position as SEK bears the credit risk for lending and is the party to the agreement regarding lending and borrowing. Unrealized revaluation effects on derivatives related to the CIRR-system are recognized net under other assets. (vii) Hedge accounting SEK applies hedge accounting in cases where derivatives are used to create economic hedging and the hedge relationship is eligible for hedge accounting, with the exception of lending within the CIRR-system, for which hedge accounting is not applied. The method used for hedge accounting is either fair-value hedge accounting or cash-flow hedge accounting. In order to be able to apply hedge accounting in accordance with IFRS 9, the hedge relationship must meet the hedge effectiveness criteria at the beginning of each hedged period which requires that: there is an economic relationship between the hedged item and the hedging instrument; the effect of credit risk does not dominate the value changes that result from that economic relationship; the hedge ratio of the hedging relationship is the same as that actually used in the economic hedge; and the effects of the forthcoming reforms to reference rates, as this might have a different impact on the hedged item and the hedging instrument, see note 14 for further information. Fair-value hedge accounting. Fair-value hedge accounting is used for transactions in which one or several derivatives are used to hedge the interest-rate risk that has arisen from a fixed-rate financial asset or liability. When applying fair-value hedging, the hedged item is revalued at fair value with regard to the risk being hedged. SEK defines the risk being hedged in fair-value hedge accounting as the risk of a change in fair value with regard to a chosen reference rate (referred to as interest-rate risk). The hedged item may be a component of the financial asset or liability, i.e., comprises less than the entire fair value change for the financial asset or liability. That could be a component of the nominal amount or the tenor of the item. The hedging instrument may consist of one or several derivatives that exchange fixed interest for floating interest in the same currency (interest-rate derivatives) or one or several instruments that exchange fixed interest in one currency for floating interest in another currency (interest and currency derivatives), in which case the currency risk is a part of the fair value hedge. Both at inception of the hedge and on an ongoing basis, SEK’s hedging relationships are expected to be highly effective in achieving offsetting changes in fair values attributable to the hedged risk. An assessment of effectiveness is performed by comparing critical terms for the hedged item and the hedging transaction. If they are identical, but reversed, the hedge relationship is regarded 100% effective. The hedge ratio is 1:1 other than in specific circumstances where SEK may choose a hedge ratio other than 1:1 in order to improve the effectiveness. Potential sources of ineffectiveness in the hedge relationship are: changes in timing of the payment of the hedged item, use of an existing derivative with a non-zero fair value, changes in timing of the trade date of the derivative and the validation of the hedge relationship, the different treatment of currency basis in calculating changes in the fair value of the hedging instrument and hedged item and a significant change in the credit risk of either party to the hedge relationship. The credit risk of the entities is monitored by the Credit Department on an ongoing basis. The risk associated with SEK and the counterparty at the inception of the hedge relationship is considered minimal and does not dominate the value changes that result from the economic relationship. This will be reassessed in cases where there is a significant change in either party’s circumstances, for example if the counterparty is in default. In addition, the hedging instruments used by SEK consist of derivatives subject to margining, clearing and cash collateralization, which significantly reduced the credit risk for both parties involved. Therefore, the credit risk is unlikely to dominate the change in fair value of the hedging instrument. Ineffectiveness is defined as the difference between the fair value change relating to the hedged risk of the hedged item and the fair value change relating to the hedging instrument. Any ineffectiveness is recognised automatically in profit or loss as a result of separately remeasuring the hedged item and the hedging instrument. If a hedging relationship ceases to meet the hedge effectiveness requirement relating to the hedge ratio but the risk management objective for that designated hedging relationship remains the same, the hedge ratio of the hedging relationship must be adjusted (i.e., rebalances the hedge) so that it meets the qualifying criteria again. Hedge accounting is discontinued prospectively only when the hedging relationship (or a part of a hedging relationship) ceases to meet the qualifying criteria (after any rebalancing). This includes instances when the hedging instrument expires or is sold, terminated or exercised. If a fair-value hedge relationship no longer fulfills the requirements for hedge accounting, that component of the hedged item ceases to be measured at fair value and is measured at amortized cost, and the previously recognized fair-value changes for the hedged item are amortized over the remaining tenor of the previously hedged item. Cash flow hedges. Cash flow hedge accounting is used for transactions in which one or several derivatives hedge risk for variability in the cash flows from a floating-rate financial asset or liability. When hedging cash flows, the hedged asset or liability is measured at amortized cost and changes in fair value in the hedging instrument are recognized in other comprehensive income. When the hedged cash flow is recognized in profit or loss, the value changes in the hedging instrument in the Statement of Comprehensive Income are reclassified from other comprehensive income to profit or loss. SEK defines the risk hedged in a cash flow hedge as the risk of variability of cash flows with regard to a chosen reference rate (referred to as cash flow risk). The hedging instrument may consist of one or several derivatives that exchange floating interest for fixed interest in the same currency (interest-rate derivatives) or one or several derivatives that exchange floating interest in one currency for fixed interest in another currency (interest and currency derivatives). If a cash flow hedge relationship no longer fulfills the requirements for hedge accounting, and accumulated gains or losses related to the hedge have been recorded in equity, such gains or losses remain in equity and are amortized through other comprehensive income to net interest income over the remaining tenor of the hedged item. (viii) Principles for determination of fair value of financial instruments The best evidence of fair value is prices in an active market. Fair-value measurements are categorized using a fair-value hierarchy. The financial instruments carried at fair value in the Statement of Financial Position have been categorized under the three levels of the fair-value hierarchy according to IFRS that reflect the significance of inputs. The categorization of these instruments is based on the lowest level of input that is significant to the fair value measurement in its entirety. SEK uses the following hierarchy for determining and disclosing the fair value of financial instruments, based on valuation techniques: Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities; Level 2: valuation models for which all inputs with a significant effect on the recorded fair value are observable, either directly or indirectly; and Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data. SEK recognizes transfers between levels of the fair-value hierarchy in the beginning of the reporting period in which the change has occurred. For all classes of financial instruments (assets and liabilities), fair value is established by using observable market prices or established valuation models. If the market for a financial instrument is not active, fair value is established by using a valuation technique. The objective of using a valuation technique is to establish what the transaction price would have been at the measurement date in an arm’s length exchange based on normal business terms and conditions. Valuation techniques include using recent arm’s length market transactions between knowledgeable, willing parties, if available. Reference to the current fair value of another instrument that is substantially the same can also be used. If the aforementioned are not available, discounted cash flow analysis or option pricing models may be used for assessing the instrument’s value. Periodically, the valuation techniques are calibrated and tested for validity using prices from observable current market transactions in the same instruments, or based on any available observable market data, or compared with the counterparty’s prices. In calculating fair value with valuation models, SEK seeks to use liquid, observable market quotes (market data) as far as possible, to best reflect the market’s view on prices. These market quotes are used, directly or indirectly, for the calculation of fair value. Examples of the indirect use of market data are: the derivation of discount curves from observable market data, which is then interpolated to calculate the non-observable data points; and model parameters in quantitative models, which are used to calculate the fair value of a structured product, where the model is calibrated so that available market data can be used to recreate observable market prices on similar instruments. In some cases, due to low liquidity in the market, there is no access to observable market data. In these cases, SEK follows market practice by basing its valuations on similar observable market data. One example is if there are no observable market prices for a bond it can be valued through a credit curve based on observable prices for instruments with the same credit risk. For observable market data, SEK uses third-party information based on purchased contracts (such as Bloomberg). This type of information can be divided into two groups, with the first group consisting of directly observable prices and the second of market data calculated from the observed prices. SEK continuously assures the high quality of market data, and a thorough validation of market data is exercised quarterly in connection with the financial reporting. For transactions that cannot be valued based on observable market data, the use of non-observable market data is necessary. Examples of non-observable market data are discount curves created using observable market data that are then extrapolated to calculate non-observable interest rates, correlations between different underlying market parameters and volatilities at long maturities. Correlations that are non-observable market data are calculated from time-series of observable market data. The valuation models applied by SEK comply with accepted methods for pricing financial instruments. Fair value adjustments are applied by SEK when there are additional factors that market participants take into account and that are not captured by the valuation model. The independent risk function assesses the level of fair-value adjustments to reflect counterparty risk, SEK’s own credit rating and other non-observable parameters, where relevant. Significant models for the valuation of financial instruments must receive approval from the Board’s Finance and Risk Committee. Other models are approved by the chief financial officer (“CFO”). New models for valuation are reported to the Board’s Finance and Risk Committee annually, together with the applicable validation. The use of a valuation model demands a validation and thereafter an approval. Validation is conducted by the independent risk function. Analysis of significant non-observable market data, fair-value adjustments and significant changes in fair values of level 3-instruments are reviewed on quarterly basis by plausibility checks. (ix) Determination of fair value of certain types of financial instruments Derivatives. Derivatives are recognized at fair value, and fair value is calculated based on established valuation models or market prices. When calculating fair value for derivative instruments, the impact on the fair value of the instrument related to credit risk (own or counterparty) is based on publicly quoted prices on credit default swaps of the counterparty or SEK, if such prices are available. Issued debt instruments. When calculating the fair value of issued debt instruments, the effect on the fair value of SEK’s own credit risk is assessed based on internally established models.These are if possible based on observable prices.In cases where observable prices are not available, recent transactions or spread against similar lender are used . Issued debt instruments that are compound financial instruments with embedded derivatives. SEK issues debt instruments in many financial markets. A large portion of these are compound financial instruments with embedded derivatives. SEK’s policy is to hedge the risks in these instruments using derivatives in order to obtain effective financial hedges. The entire compound financial instruments are irrevocably classified as financial liabilities measured at fair value through profit or loss, and accordingly derivatives are not separated. As there are no quoted market prices for these instruments, valuation models are used to calculate fair value. The method applied for calculating gains and losses that arise from changes in SEK’s own credit risk (OCA) is based on the change in the credit risk for the financial liability from initial recognition. In practice, this means that OCA incorporates market movements not related to changes in benchmark rates or the embedded derivatives. (x) Impairment of financial assets The impairment of exposures are based on expected credit losses (ECL). All assets measured at amortized cost, including credit commitments and financial guarantees, are to be tested for any impairment. SEK uses both models and expert assessment to calculate reserves for expected credit losses. The degree of expert assessment depends on the models’ results, materiality and available information and can be used to take into account factors that are not captured by the models . The model for calculating ECL is based on an exposure being at one of three different stages. Initially, all exposures were at stage 1. Stage 1 also includes exposures where the credit risk is no longer significantly higher and which have therefore been reclassified from stage 2. In stage 1, the ECL calculation should correspond to provisions based on expected credit losses for the forthcoming 12-month period (12mECL). Where the credit risk has increased significantly since initial recognition, the exposure is moved to stage 2. Stage 2 also includes exposures where the counterparty/exposure is no longer in default and which have therefore been reclassified from stage 3, as well as a smaller portion of exposures that lack an initial rating and where the rating is below BBB. In stage 2, the provision is based on expected credit losses over the remaining lending period of the asset (LTECL). If the exposure moves into default, it is moved to stage 3, where the ECL calculation continues to be based on LTECL. 12mECL comprises the part of LTECL that arises from expected credit losses based on the probability of default (PD) within 12 months of the reporting date. Both LTECL and 12mECL are calculated on an individual basis. SEK has chosen to use credit rating models for all exposures, in other words, to calculate expected credit losses (ECL) by using the probability of default (PD), loss given default (LGD) and exposure at default (EAD). Significant increase in credit risk. A significant increase in credit risk is a relative assessment, whereby the credit quality at the reporting date is compared with the initial credit quality when the exposure was recognized. The starting point when assessing what should be included as criteria for the assessment of credit risk is the existing process for following up credit risk and credit risk management within SEK. All counterparties are given a risk rating, which means that risk classification forms the basis for follow-up should a significant increase in credit risk have occurred. Moreover, other indicators currently in use to follow up credit risk in exposures and of counterparties, include the number of days past due, forbearance measures and other risk raising factors, such as deviations from covenants. These indicators are applied to assess credit risk and whether a significant increase in credit risk has occurred. Risk classification. A significant increase in credit risk is defined based on a deterioration by a number of steps in the initial rating and where a separation is made between exposures with an initial rating of AAA to A - and others. Number of days past due . SEK applies the presumption specifically stated in IFRS 9 and applies a more than 30-days-past-due criterion for receivables when assessing a significant increase in credit risk. All exposures that are more than 30-days-past-due will therefore be included in stage 2 and the LTECL will be calculated for these exposures. To ensure that there is no longer a significant increase in credit risk, a waiting period is applied following the resumption of payments and all past-due receivables being extinguished for the exposure. Appropriate waiting periods are assessed on an ongoing basis to, at any given time, ensure that a reasonable waiting period is set given SEK’s exposures and payment structures. Forbearance measures . Exposures encompassed by forbearance measures have a raised credit risk assessment and, therefore, will also be assessed as having a significant increase in credit risk on application of IFRS 9. Similar to the days-past-due criterion, a waiting period will be applied to ensure the exposure no longer has a raised credit risk at the time it is returned to stage 1. Appropriate waiting periods are assessed on an ongoing basis to, at any given time, ensure that a reasonable waiting period is set given SEK’s exposures and the reasons the exposure was marked for forbearance. Other risk raising factors . Other factors can exist that indicate an exposure or a counterparty has an increased credit risk, which are not ca |
Tangible assets | (i) Tangible assets Items of tangible assets are measured at cost, less accumulated depreciation and accumulated impairment losses. Cost includes expenditures that are directly attributable to the acquisition of the asset. Tangible assets are depreciated using the straight-line method over their estimated useful lives. Average useful lives, depreciation methods and residual values are evaluated and tested annually. No depreciation is carried out from the time that an asset is classified as an asset held-for- sale. The right-of-use assets according to IFRS 16 Leases are accounted for as tangible assets when the underlying assets are tangible assets. SEK account or right-of-use assets for rental premises as tangible assets. |
Intangible assets | (j) Intangible assets Intangible assets comprise mainly the capitalized portion of investments in IT systems. Expenses that are directly attributable to large investments in the development of IT systems are recognized as intangible assets if they are expected to generate future economic benefits. The capitalized portion of investments in IT systems includes expenses related to the intangible asset, such as consulting fees and expenses for Group personnel who have contributed to producing the intangible asset. Each intangible asset is amortized using the straight-line method over an estimated useful life from the date the asset is available for use. Average useful lives are evaluated and reconsidered on a yearly basis. An annual impairment test is performed on intangible assets not yet used. |
Employee benefits | (k) Employee benefits SEK sponsors both defined-benefit and defined-contribution pension plans. (i) Defined-contribution plans A defined-contribution pension means that the size of the premium is predetermined, such as is the case with the BTP1 and BTPK plans. A defined-contribution plan is a post-employment benefit plan under which an entity pays fixed contributions into a separate legal entity and has no legal or constructive obligation to pay further amounts. Obligations for contributions to defined-contribution pension plans are recognized as an employee benefit expense in profit or loss at the rate at which they are accrued by employees providing services to the entity during a period. Prepaid contributions are recognized as an asset to the extent that a cash refund or a reduction in future payments is available. (ii) Defined-benefit plans Defined-benefit pension plans means that the pension benefit is predetermined, such as is the case with the BTP2 plan. Defined-benefit plans are post-employment benefit plans other than defined-contribution plans. The present value of the net obligation for defined-benefit plans is calculated separately for each plan by estimating the amount of future benefits that employees have earned in return for their service in the current and prior periods. The net obligation is recognized in the balance sheet at its present value less the fair value of any plan assets. The cost for defined-benefit plans is allocated over the employee’s service period. The calculation is performed annually by independent actuaries. The obligations are valued at the present value of the expected future disbursements, taking into consideration assumptions such as expected future pay increases, rate of inflation and mortality rates. The discount rate used is the equivalent of the interest rate on the reporting date for Swedish mortgage bonds, with a remaining term approximating that of the actual commitments. Changes in actuarial assumptions and experience-based adjustments to obligations may result in actuarial gains or losses. These actuarial gains and losses are reported together with the difference between the actual and expected return on pension assets in other comprehensive income as incurred. Service cost, gains/losses from changes in plans, and the interest net of pension assets and liabilities are recognized in profit or loss.SEK participates in various collective pension plans covering all employees. Sufficient information is available to allow the calculation of SEK’s proportionate share in the defined-benefit liabilities, assets and the costs for these plans. The future costs of the plans may change accordingly if the underlying assumptions of the plans change. |
Equity | (l) Equity Equity in the Consolidated Group consists of the following items: share capital; reserves; retained earnings; and net profit for the year. Reserves consist of the following items: the reserve for fair-value changes in respect of derivatives in cash-flow hedges (hedge reserve); the reserve for fair-value changes with respect to changes in SEK’s credit risk (own credit risk reserve) and the reserve for remeasurement in respect of defined-benefit pension plans (reserve for defined-benefit pension plans). |
Taxes | (m) Taxes Income tax on the profit or loss for the year comprises current and deferred taxes. Current tax is tax expected to be payable on taxable income for the fiscal year. Deferred tax includes deferred tax in the untaxed reserves of the individual Group companies and deferred taxes on other temporary fiscal differences. Deferred tax is calculated with an expected tax rate of 21.4 percent (2019: 21.4 percent). Deferred tax is calculated on all taxable temporary differences, regardless of whether a given temporary difference is recognized in profit or loss, or through other comprehensive income. A temporary difference is the difference between the recognized and fiscal values of an asset or a liability. |
Earnings per share | (n) Earnings per share Earnings per share are calculated as net profit divided by the average number of shares. There is no dilution of shares. |
Statement of cash flows | (o) Statement of Cash Flows The Statement of Cash Flows shows inflows and outflows of cash and cash equivalents during the year. SEK’s Statement of Cash Flows has been prepared in accordance with the indirect method, whereby operating profit is adjusted for effects of non-cash transactions such as depreciation and credit losses. The cash flows are classified under operating, investing and financing activities. Cash and cash equivalents include cash at banks where amounts can be immediately converted into cash and short-term deposits where the time to maturity does not exceed three months from the acquisition date. |
Critical accounting policies, assumptions and estimates | (p) Critical accounting policies, assumptions and estimates When adopting and applying the Group’s accounting policies, in certain cases, the management makes judgments and estimates that have a significant effect on the amounts recognized in the Financial Statements. These estimates are based on past experience and assumptions that the Company believes are fair and reasonable. These estimates and the judgments behind them affect the reported amounts of assets, liabilities, income and expenses as well as disclosures. Actual outcomes can later differ from the estimates and the assumptions made. SEK considers the judgments made related to the following critical accounting policy to be the most significant: Functional currency of the Parent Company Furthermore, SEK has identified the following key sources of estimation uncertainty when applying IFRS: Fair value assessments of certain financial instruments; and Provisions for expected credit losses. (i) Functional currency of the Parent Company SEK has established that the Swedish krona (Skr) is its functional currency under IFRS. Large portions of its assets, liabilities and related derivatives are denominated in foreign currencies. Under IFRS, both assets and liabilities are translated at closing exchange rates and the differences between historical book values and current values are recognized as currency exchange effects in the Statement of Comprehensive Income. These differences largely offset each other, causing the net result not to be a material amount in relation to total assets and liabilities in foreign currency. This reflects the economic substance of SEK’s policy of holding assets financed by liabilities denominated in, or hedged into, the same currency. See note 26 for information on SEK’s positions in foreign currency. (ii) Fair value assessments of certain financial instruments SEK recognizes a large part of the balance sheet at fair value, primarily interest-bearing securities recognized on the lines Treasuries/Government bonds and Other interest-bearing securities except loans, derivatives and issued debt. When financial instruments are recognized at fair value, these amounts are calculated on the basis of market prices, valuation models, valuations conducted by external parties and discounted cash flows. SEK’s financial instruments are predominantly not subject to public trading and quoted market prices are not available. When recognizing the amounts for assets, liabilities and derivatives, as well as income and expenses, it is necessary to make assumptions and assessments regarding the fair value of financial instruments and derivatives, particularly if they comprise unquoted or illiquid securities or other instruments of debt. Should the conditions underlying these assumptions and assessments change, the recognized amounts would also change. Refer to note 26 for further information about the impact on the value of financial assets and liabilities of a one percentage point movement in the market interest rate. Other valuation models or assumptions could produce different valuation results. SEK makes judgments regarding what the most appropriate valuation techniques are for the different financial instruments based on their categories. In all cases, the decision is based on a professional assessment pursuant to SEK’s accounting and valuation policies. The use of a valuation model demands a validation and thereafter an approval, in addition to approval of all models at least annually. The valuation models applied by SEK comply with accepted methods for pricing financial instruments. Fair- value adjustments are applied when there are additional factors that market participants take into account and that are not captured by the valuation model. A CVA (Credit Value Adjustment) and DVA (Debt Value Adjustment) are made to reflect the counterparty’s credit risk and SEK’s own credit rating, which affects the fair value of the derivatives (see note 13, for fair value changes related to credit risk.) When financial assets or liabilities are recognized at fair value, the instruments are recognized at their full fair value, including any credit spreads. When quoted market prices are not available for such instruments, certain assumptions must be made about the credit spread of either the counterparty or one’s own credit spread, depending on whether the instrument is an asset or a liability. Developments in the financial markets have to some extent affected the prices at which SEK’s debt is issued. These changes, which are different in different markets, have been included in the calculation of fair value for these liabilities. SEK issues debt instruments in many financial markets. A large portion of these are compound financial instruments with embedded derivatives. SEK’s policy is to hedge the risks in these instruments using derivatives with corresponding structures in order to obtain effective economic hedges. Such compound financial instruments are classified as financial liabilities measured at fair value. As there mostly are no market quotes for this group of transactions, valuation models are used to calculate fair value. The gross value of these instruments and derivatives, which effectively hedge each other, requires complex judgments regarding the most appropriate valuation technique, assumptions and estimates. If other valuation models or assumptions are used, or if assumptions are changed, this could produce other valuation results. Excluding the impact on the valuation of credit spreads on SEK’s own debt and basis spreads, such changes in fair value would generally offset each other. SEK uses derivative instruments to mitigate and reduce risks attributable to financial assets and liabilities. In order to mitigate counterparty risk, i.e., the form of credit risk generated from derivative transactions, SEK enters into such transactions only with counterparties with good credit ratings. Moreover, SEK endeavors to enter into ISDA Master Agreements with Credit Support Annexes (CSAs) with its counterparties. This means that the highest allowed risk level is established in advance, regardless of what changes in market value may occur. Derivatives are measured at fair value with reference to listed market prices where available. If market prices are not available, valuation models are used instead. SEK uses a model to adjust the fair value of the net exposure for changes in SEK’s or the counterparty’s credit quality. The models use directly observable market parameters if such are available. As of December 31, 2020, financial assets and liabilities for which valuation models were used, and where market inputs with a significant effect on the recoded fair value are observable (level 2) amounted to Skr 28 billion (2019: Skr 32 billion) and Skr 30 billion (2019: Skr 31 billion) and 9 percent (2019: 11 percent) and 10 percent (2019: 10 percent) of total financial assets and total financial liabilities respectively. Financial assets and liabilities for which valuation included significant non-observable parameters (level 3) amounted to Skr 2 billion and (2019: Skr 2 billion) Skr 43 billion (2019: Skr 46 billion) and 0 percent (2019: 1 percent) and 14 percent (2019: 16 percent) of total financial assets and total financial liabilities respectively. The assessment of non-observable parameters included in models for assessing market value are associated with subjectivity and uncertainty, which can impact the results recognized for specific positions. Despite SEK using appropriate valuation models which are consistent with those used in the market, other models and assumptions for determining the fair value of financial instruments could result in other fair value estimates on the reporting date. At December 31, 2020, the total minimum and maximum effects of changing one or more non-observable parameters to reflect the assumptions under other reasonable circumstances for level 3-instruments amounted to Skr -137 million (2019: Skr -172 million) and Skr 137 million (2019: Skr 175 million) respectively. Refer to note 13 for information regarding value changes for assets and liabilities if non-observable market parameters are changed and section (h) (viii) above for the Principles for determination of fair value of financial instruments. (iii) Provisions for expected credit losses Provisions are estimated using quantitative models, which incorporate inputs, assumptions and methodologies that involve a high degree of management judgement. In particular, the following can have a significant impact on the level of impairment provisions: determination of a significant increase in credit risk, incorporation of forward-looking macroeconomic scenarios and measurement of both 12-month and lifetime expected credit losses. A significant increase in credit risk is defined by SEK based on a deterioration by a number of steps from the initial rating. On December 31, 2020 if the definition of significant increase in credit risk had been one less step of deterioration the impairments would have been Skr 4 million higher (2019: Skr 23 million), and if the definition had been one more step of deterioration the impairments would have been Skr 0 million lower (2019: Skr 1 million). SEK’s method of calculating probability of default entails three scenarios being prepared for each PD curve. The three scenarios are defined by a weight allocated to each scenario. On December 31, 2020 if the probability of a downturn scenario, or an upturn scenario, would have been weighted with 100% probability the impairments would have been Skr 12 million higher (2019: Skr 11 million) or Skr 11 million lower (2019: Skr 16 million), respectively. On December 31, 2020, SEK’s total lending including off-balance sheet exposures amounted to Skr 294 billion (2019: Skr 277 billion) and the related impairment reserve amounted to Skr 249 million (2019: Skr 128 million). If, for example, the actual amount of total future cash flow were to have been 10 percent higher or lower than the estimate, this would have affected operating profit for the fiscal year ended December 31, 2020 by an additional approximately Skr 25 million(2019: Skr 13 million) and equity at the same date by approximately Skr 20 million (2019:Skr 10 million).A higher total future cash flow would affect operating profit and equity positively, while a lower total future cash flow would affect operating profit and equity negatively. |
New standards and amendments to standards and interpretations not yet adopted | New standards and amendments to standards and interpretations not yet adopted and considered relevant to SEK The IASB has published amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 in "Reform for new reference rates - phase 2". Phase 2 of the reform of the reference rates, has three main areas: hedge accounting, modifications and information. The changes clarify that the hedge accounting do not have to cease just because the hedged items and hedging instruments modified as a result of the IBOR reform. Security conditions (and associated documentation) must be changed to reflect those modifications made to the hedged item, the hedging instrument and the hedged risk. Any value adjustments that these changes entail must be reported as hedging inefficiency. The amendments further clarified that modifications required as a direct result of the IBOR reform and made in an economically equivalent way should not be reported as modifications for instruments valued at accrued acquisition value. For such modifications, the effective interest rate is adjusted in line with those modified cash flows. The amendments are to be applied for financial years beginning January 1, 2021 or later, and previous application is allowed. The changes are expected to result in SEK's hedging conditions remaining as before without significant modification gains or modification losses being reported. The changes are therefore expected not have any significant impact on SEK's accounts, capital adequacy or large exposures when first applied. Other IFRS or IFRS IC interpretations that are not yet applicable are not expected to have a material impact on SEK’s Financial Statements, capital adequacy or large exposure ratios |
Significant accounting polici_3
Significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Significant accounting policies | |
Schedule of changed accounting of revenues and expenses in the CIRR system | Impact on statement of comprehensive income Full year 2020 Skr mn Old policy Change New policy Interest income calcucated using the effective interest method 3,495 1,465 4,960 Other interest income 384 -1,236 -852 Interest expenses -1,933 -229 -2,162 Net interest income 1,946 — 1,946 Impact on net profit for the period — — — Full year 2019 Skr mn Old policy Change New policy Interest income calcucated using the effective interest method 5,187 516 5,703 Other interest income 896 -242 654 Interest expenses -4,366 -274 -4,640 Net interest income 1,717 — 1,717 Impact on net profit for the period — — — Full year 2018 Skr mn Old policy Change New policy Intrest income calucated using the effective interest method 4,390 476 4,866 Other interest income 763 -263 500 Interest expenses -3,711 -213 -3,924 Net interest income 1,442 — 1,442 Impact on net profit for the period — — — |
Net interest income (Tables)
Net interest income (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Net interest income | |
Schedule of net interest income | Skr mn 2020 2019 2018 Interest income Loans to credit institutions 236 546 1,498 Loans to the public 4,210 4,597 2,965 Loans in the form of interest-bearing securities 897 829 672 Interest-bearing securities excluding loans in the form of interest-bearing securities 242 686 523 Derivatives -1,708 -538 -501 Administrative remuneration CIRR-system 1 197 194 157 Other assets 34 43 52 Total interest income 4,108 6,357 5,366 Interest expenses Interest expenses excl. resolution fee -2,076 -4,471 -3,658 Resolution fee -86 -169 -266 Total interest expenses -2,162 -4,640 -3,924 Net interest income 1,946 1,717 1,442 Skr mn 2020 2019 2018 Interest income were related to: Financial assets at fair value through profit or loss -1,070 452 283 Derivatives used for hedge accounting -396 -303 -261 Financial assets at amortized cost 5,574 6,208 5,344 Total interest income 4,108 6,357 5,366 Interest expenses were related to: Financial liabilities at fair value through profit or loss 725 1,158 685 Financial assets measured at fair value through profit or loss - negative interest on income -60 -72 -104 Financial assets measured at amortized cost - negative interest income 0 -9 -27 Derivatives used for hedge accounting 1,904 -286 106 Financial liabilities at amortized cost -4,731 -5,431 -4,584 Total interest expenses -2,162 -4,640 -3,924 Net interest income 1,946 1,717 1,442 |
Schedule of interest income by geographical areas | Interest income geographical areas Skr mn 2020 2019 2018 Sweden 1,223 1,281 1,114 Europe except Sweden -166 1,340 1,288 Countries outside of Europe 3,051 3,736 2,964 Total interest income 4,108 6,357 5,366 |
Schedule of interest income by product group | Interest income per product group Skr mn 2020 2019 2018 Lending to Swedish exporters 1,921 1,954 1,709 Lending to exporters’ customers 2 1,229 1,784 1,665 Liquidity 958 2,619 1,992 Total interest income 4,108 6,357 5,366 1 Including administrative remuneration for concessionary loans by Skr 1 million (2019: Skr 2 million). 2 In interest income for Lending to exporters’ customers, Skr 196 million (2019: Skr 192 million) represent remuneration from the CIRR-system (see note 24). |
Net fee and commissions expen_2
Net fee and commissions expense (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Net fee and commissions expense | |
Schedule of fees and commissions expenses | Skr mn 2020 2019 2018 Fee and commissions earned were related to 1 : Lending 1 1 5 Total 1 1 5 Commissions incurred were related to 1 : Depot and bank fees -10 -8 -7 Brokerage -4 -5 -4 Other commissions incurred -29 -21 -26 Total -43 -34 -37 Net fee and commissions expense -42 -33 -32 Skr -37 million (2019: Skr -28 million) includes financial assets and liabilities not measured at fair value through profit or loss. |
Net results of financial tran_2
Net results of financial transactions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Net results of financial transactions | |
Schedule of net results of financial transactions | Skr mn 2020 2019 2018 Derecognition of financial instruments not measured at fair value through profit or loss: Financial assets at amortized cost 14 19 24 Financial assets or liabilities at fair value through profit or loss: Designated upon initial recognition (FVO) 1 -488 -5,590 7,315 Mandatorily 466 5,710 -7,360 Financial instruments under fair-value hedge accounting: Net results of the hedging instrument 1,277 2,846 -192 Net results of the hedged item -1,191 -2,761 235 Currency exchange-rate effects on all assets and liabilities excl. currency exchange-rate effects related to revaluation at fair value 5 2 -3 Total net results of financial transactions 83 226 19 |
Personnel expenses (Tables)
Personnel expenses (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Personnel expense | |
Summary of total personnel expenses | Skr mn 2020 2019 2018 Salaries and remuneration to the Board of Directors and the CEO -7 -7 -7 Salaries and remuneration to Senior Executives -25 -23 -21 Salaries and remuneration to other employees -168 -161 -158 Pensions -64 -60 -52 Social insurance -68 -63 -59 Other personnel expenses -15 -19 -14 Total personnel expenses -347 -333 -311 |
Summary of remuneration and other benefits to Board of Directors and Senior Executives | Remuneration and other benefits to the Board of Directors and Senior Fee, Executives in the Consolidated Group includes 2020 committee Fixed Other Skr thousand fee remuneration 1 benefits 2 Pension fee 3 Total Chairman of the Board of Directors: Lars Linder-Aronson -588 — — — -588 Other members of the Board of Directors: Cecilia Ardström -322 — — — -322 Anna Brandt 4 — — — — — Reinhold Geijer -288 — — — -288 Hans Larsson -302 — — — -302 Eva Nilsagård -297 — — — -297 Ulla Nilsson -322 — — — -322 Hanna Lagercrantz 4 , — — — — — Senior Executives: Catrin Fransson, Chief Executive Officer (CEO) 5 — -5,234 -33 -1,536 -6,803 Per Åkerlind, Deputy Chief Executive Officer and Head of Partnerships and Relations — -3,527 -31 -1,257 -4,815 Karl Johan Bernerfalk, General Counsel, Head of Legal — -1,576 -31 -552 -2,159 Andreas Ericson, Head of Mid Corporates — -2,024 -32 -631 -2,687 Stefan Friberg, Chief Financial Officer (CFO) — -2,964 -18 -515 -3,497 Teresa Hamilton Burman, Chief Credit Officer (CCO) — -2,389 -18 -524 -2,931 Jens Hedar, Head of Large Corporates — -2,316 -18 -635 -2,969 Petra Könberg, Head of Marketing and Communications — -1,286 -34 -428 -1,748 Peter Svensén, Chief Risk Officer (CRO) — -2,597 -26 -569 -3,192 Sirpa Rusanen, Chief Human Resources Officer (CHRO) — -1,719 -22 -675 -2,416 Susanna Rystedt, Head of Business Development, Business Support and Transformation — -2,501 -16 -788 -3,305 Madeleine Widaeus, Chief Information Officer (CIO) — -1,671 -16 -493 -2,180 Total -2,119 -29,804 -295 -8,603 -40,821 1 Predetermined salary or other compensation such as holiday pay and allowances. 2 Other benefits consist of, for example subsistence benefits. 3 Includes premiums for insurance covering sickness benefit for prolonged illness and other public risk insurance as a result of collective pension agreements. 4 Remuneration is not paid from the Company to the representatives on the Board of Directors who are employed by the owner, the Swedish -Government. 5 The retirement age of the CEO, Catrin Fransson, is 65 years and the pension fee is 30 percent of her fixed salary. Remuneration and other benefits to the Board of Directors and Senior Fee, Executives in the Consolidated Group includes 2019 committee Fixed Other Skr thousand fee remuneration 1 benefits 2 Pension fee 3 Total Chairman of the Board of Directors: Lars Linder-Aronson -603 — — — -603 Other members of the Board of Directors: Cecilia Ardström -308 — — — -308 Anna Brandt 4 — — — — — Reinhold Geijer -275 — — -275 Hans Larsson -249 — — — -249 Eva Nilsagård -277 — — — -277 Ulla Nilsson -298 — — — -298 Hélène Westholm 4 , resigned March 28, 2019 — — — — — Hanna Lagercrantz 4 , from March 28, 2019 — — — — — Senior Executives: Catrin Fransson, Chief Executive Officer (CEO) 5 — -5,015 -25 -1,462 -6,502 Per Åkerlind, Head of Treasury and Capital Management and Executive Vice President — -3,509 -30 -1,123 -4,662 Karl Johan Bernerfalk, General Counsel — -1,507 -23 -529 -2,059 Andreas Ericson, Head of Mid Corporates — -1,978 -28 -607 -2,613 Stefan Friberg, Chief Financial Officer (CFO) — -2,922 -27 -500 -3,449 Teresa Hamilton Burman, Chief Credit Officer (CCO) — -2,353 -18 -508 -2,879 Jens Hedar, Head of Large Corporates — -2,224 -15 -649 -2,888 Petra Könberg, Head of Marketing & Business Development — -1,236 -33 -407 -1,676 Irina Slinko, acting Chief Risk Officer (CRO), resigned August 20, 2019 — -1,159 -12 -365 -1,536 Anna-Lena Söderlund, acting Chief Risk Officer (CRO), from August 21, 2019, resigned October 27, 2019 — -278 -6 -115 -399 Peter Svensén, Chief Risk Officer (CRO), from October 28, 2019 — -471 -3 -80 -554 Sirpa Rusanen, Chief Human Resources Officer (CHRO) — -1,644 -42 -623 -2,309 Susanna Rystedt, Chief Administrative Officer (CAO) — -2,484 -40 -759 -3,283 Madeleine Widaeus, Chief Information Officer (CIO) — -1,574 -16 -463 -2,053 Total -2,010 -28,354 -318 -8,190 -38,872 1 Predetermined salary or other compensation such as holiday pay and allowances. 2 Other benefits consist of, for example, car allowances and subsistence benefits. 3 Includes premiums for insurance covering sickness benefit for prolonged illness and other public risk insurance as a result of collective pension agreements. 4 Remuneration is not paid from the Company to the representatives on the Board of Directors who are employed by the owner, the Swedish -Government. 5 The retirement age of the CEO, Catrin Fransson, is 65 years and the pension fee is 30 percent of her fixed salary. Remuneration and other benefits to the Board of Directors and Senior Executives in the Consolidated Group Remuneration and other benefits to the Board of Directors and Senior Fee, Executives in the Consolidated Group includes 2018 committee Fixed Other Skr thousand fee remuneration 1 benefits 2 Pension fee 3 Total Chairman of the Board of Directors: Lars Linder-Aronson 4 -612 — — — -612 Other members of the Board of Directors: Cecilia Ardström C -287 — — — -287 Anna Brandt — — — — — Reinhold Geijer 4 -269 — — — -269 Hans Larsson 4 -250 — — — -250 Eva Nilsagård. from April 24, 2018 -182 — — — -182 Susanne Lithander, resigned April 24, 2018 -74 — — — -74 Lotta Mellström, resigned April 24, 2018 5 — — — — — Ulla Nilsson -287 — — — -287 Hélène Westholm, from April 24, 2018 — — — — — Senior Executives: Catrin Fransson, Chief Executive Officer (CEO) 6 — -4,743 -88 -1,418 -6,249 Per Åkerlind, Head of Treasury and Capital Management and Executive Vice President — -3,339 -85 -1,307 -4,731 Karl Johan Bernerfalk, General Counsel — -1,414 -33 -505 -1,952 Andreas Ericson, Head of Mid Corporates, from October 15, 2018 — -410 -6 -146 -562 Stefan Friberg, Chief Risk Officer (CRO) — -2,930 -25 -483 -3,438 Teresa Hamilton Burman, Chief Credit Officer (CCO) — -2,326 -16 -493 -2,835 Jens Hedar, Head of Large Corporates, from October 15, 2018 — -461 -5 -157 -623 Johan Henningsson, Head of Sustainability — -1,261 -27 -466 -1,754 Petra Könberg, Head of Marketing & Business Development — -1,143 -28 -384 -1,555 Jane Lundgren Ericsson, Head of Lending, resigned October 12, 2018 — -1,943 -75 -610 -2,628 Ingela Nachtweij, acting Chief Information Officer (CIO), resigned January 31, 2018 — -128 -2 -36 -166 Sirpa Rusanen, Chief Human Resources Officer (CHRO) — -1,471 -106 -556 -2,133 Susanna Rystedt, Chief Administrative Officer (CAO) — -2,255 -108 -733 -3,096 Madeleine Widaeus, IT-chief, from February 1, 2018 — -1,360 -11 -405 -1,776 Total -1,961 -25,184 -615 -7,699 -35,459 1 Predetermined salary or other compensation such as holiday pay and allowances. 2 Other benefits consist of, for example, car allowances and subsistence benefits. 3 Includes premiums for insurance covering sickness benefit for prolonged illness and other public risk insurance as a result of collective pension agreements. 4 Remuneration is not paid from the Company to the representatives on the Board of Directors who are employed by the owner, the Swedish -Government. 5 The retirement age of the CEO, Catrin Fransson, is 65 years and the pension fee is 30 percent of her fixed salary. |
Schedule of total expenditure on remuneration in accordance with CRR | Total Expenditure on Remuneration in accordance with CRR 2020 Other members of staff whose actions have a material impact Skr thousand Executive -management on the risk profile of the institution Total amount expensed for remuneration -38,632 -87,252 of which fixed remuneration -38,632 -81,244 of which variable remuneration in cash — -6,008 number of beneficiaries 12 67 Outstanding vested deferred remuneration — — Outstanding unvested deferred remuneration -90 -8,164 Deferred remuneration awarded — -3,605 Deferred remuneration paid out -69 -2,535 Deferred remuneration reduced through performance adjustments — — Severance payments made — — number of beneficiaries — — Severance payments awarded — — 2019 Other members of staff whose actions have a material impact Skr thousand Executive -management on the risk profile of the institution Total amount expensed for remuneration -34,780 -88,565 of which fixed remuneration -34,780 -81,730 of which variable remuneration in cash — -6,835 number of beneficiaries 12 74 Outstanding vested deferred remuneration — — Outstanding unvested deferred remuneration -90 -4,727 Deferred remuneration awarded — -4,101 Deferred remuneration paid out -69 -569 Deferred remuneration reduced through performance adjustments — — Severance payments made — -1,319 number of beneficiaries — 1 Severance payments awarded — — 2018 Other members of staff whose actions have a material impact Skr thousand Executive -management on the risk profile of the institution Total amount expensed for remuneration -33,617 -111,896 of which fixed remuneration -33,617 -111,896 of which variable remuneration in cash — — number of beneficiaries 12 114 Outstanding vested deferred remuneration — — Outstanding unvested deferred remuneration -207 -1,884 Deferred remuneration awarded — — Deferred remuneration paid out -239 -2,910 Deferred remuneration reduced through performance adjustments — — Severance payments made — — number of beneficiaries — — Severance payments awarded — -1,319 |
Summary of information about pension plans | Total pension cost for defined benefit and defined contribution obligations Skr mn 2020 2019 2018 Service cost -5 -6 -4 Regulation of pension obligations 0 0 5 Interest cost, net -1 -2 -1 Pension cost for defined benefit pensions, incl. payroll tax -6 -8 0 Pension cost for defined contribution pension cost incl. payroll tax -58 -52 -52 Pension cost recognized in personnel costs -64 -60 -52 Actuarial gains (+) and losses (-) on defined benefit obligation during period -2 -16 -48 Return above expected return, gains (+) and losses (-) on plan assets 3 12 0 Change in the effect of the asset ceiling excluding interest — — — Revaluation of defined benefit plans 1 -4 -48 Net value of defined benefit pension obligations Skr mn 2020 2019 2018 Defined benefit obligations 277 272 253 Plan assets -195 -189 -173 Provision for pensions, net obligation 1 82 83 80 |
Summary of development of defined benefit obligations and assets | Development of defined benefit obligations Skr mn 2020 2019 2018 Defined benefit obligation, opening balance 272 253 263 Service cost 6 6 4 Interest cost 5 5 6 Pension Payments incl. special payroll tax -9 -8 -9 Actuarial gains (-) and losses (+), effect due to changed demographic assumptions — — -59 Actuarial gains (-) and losses (+), effect due to changed financial assumptions 12 25 46 Actuarial gains (-) and losses (+), effect due to experience based outcome -9 -9 2 Defined benefit obligation, closing balance 277 272 253 Development of plan assets related to defined benefit obligation Skr mn 2020 2019 2018 Fair value of plan assets, opening balance 189 173 223 Expected return on plan assets 3 4 5 Contributions by the employer 1 7 7 7 Benefits paid 2 -8 -7 -8 Other 3 — — -54 Return on plan assets excluding interest income 4 12 0 Fair value of plan assets, closing balance 195 189 173 1 Expected contribution from the employer in the following year is Skr 5 million (2019: Skr 6 million) excluding payroll tax. 2 Expected compensation paid in the following year is Skr 7 million (2019: Skr 9 million). 3 Regulation of pension obligations related to Venantius AB and its subsidiaries, which were liquidated in 2018. |
Summary of plan assets | Distribution of plan assets related to defined benefit obligation Skr mn 2020 2019 2018 Domestic equity investments 4 4 3 Foreign equity investments 23 17 12 Domestic government bonds 41 49 43 Domestic corporate bonds 18 22 26 Mortgage bonds 53 49 49 Other Investments 33 25 19 Properties 23 23 21 Total plan assets 195 189 173 |
Summary of principal actuarial assumptions used end of year | Percent 2020 2019 2018 Discount rate 1.25 1.7 2.1 Assumption of early pension withdrawal 20.0 20.0 20.0 Expected salary increase 2.0 2.0 2.0 Expected inflation 1.8 2.0 2.0 Expected lifetime DUS14 DUS14 DUS14 Expected turnover 5.0 5.0 5.0 |
Summary of sensitivity analysis of essential assumptions | Negative outcome Positive outcome Skr mn 2020 2019 2018 2020 2019 2018 Discount rate -1 % -1 % -1 % +1 % +1 % +1 % Defined benefit obligation 351 324 215 202 Service cost 8 8 5 4 Interest cost 2 4 6 6 Expected lifetime +1 year +1 year +1 year -1 year -1 year -1 year Defined benefit obligation 286 266 260 242 Service cost 6 6 6 5 Interest cost 5 6 4 5 |
Summary of net reconciliation of pension liabilities | Skr mn 2020 2019 2018 Pension liabilities, opening balance 83 80 40 Net periodic pension cost 8 7 0 Contributions by the employer -7 -7 -7 Net pension payments -1 -1 -1 Revaluations recognized in other comprehensive income -1 4 48 Pension liabilities, closing balance 82 83 80 |
Summary of information about employees | Average number of employees 2020 2019 2018 Women 123 120 117 Men 125 121 126 Total average number of employees 248 241 243 Number of employees at year-end 1 2020 2019 2018 Women 125 123 118 Men 128 121 120 Total number of employees 2 253 244 238 of which full-time employees 247 236 230 allocation of women/men 49/51 50/50 49/51 of which part-time employees 6 8 8 allocation of women/men 83/17 75/25 75/25 of which permanent employees 236 allocation of women/men 49/51 51/49 50/50 of which temporary employees 0 1 2 allocation of women/men 0/0 0/100 50/50 of which managers 31 31 29 of which non-management 209 1 Information collected from the HR-system. 2 In addition to its employees, SEK had 75 consultants (FTEs) (2019: 66 consultants) engaged at year-end 2020. Employees by age distribution 2020 2019 2018 Total number of employees 253 244 238 of which under the age of 30 years 13 12 13 of which between 30 and 50 years 122 127 127 of which over 50 years 118 105 98 Employee turnover 2020 2019 2018 Number of employees who left employment 16 30 32 of which women 8 16 12 of which men 8 14 20 of which under the age of 30 years 0 2 3 of which between 30 and 50 years 12 22 20 of which over 50 years 4 6 9 Health Percent 2020 2019 2018 Absence due to sickness 1 2.5 3.1 1 Number of hours of sickness in relation to scheduled working hours. Equality and diversity 2020 2019 2018 Allocation of women/men on the Board of Directors 62/38 62/38 62/38 Allocation of women/men in SEK’s executive management 50/50 50/50 50/50 Allocation of women/men in -management positions 48/52 42/58 41/59 Allocation of women/men at SEK in total 49/51 50/50 51/49 |
Other administrative expenses (
Other administrative expenses (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other administrative expenses | |
Schedule of other administrative expenses | Skr mn 2020 2019 2018 Travel expenses and marketing -3 -7 -7 IT and information system (fees incl.) -140 -156 -151 Other fees -38 -34 -34 Premises 1 -10 -3 -33 Other -7 -6 -6 Total other administrative expenses -198 -206 -231 1 SEK is a party to rental agreements of office space in Stockholm and Gothenburg, Sweden. Since 2019-01-01 leases of premises are accounted for according to IFRS 16, see note 8. |
Schedule of remuneration to auditors | Skr mn 2020 2019 2018 Öhrlings PricewaterhouseCoopers AB: Audit fees 1 -9 -10 -8 Audit related fees 2 — 0 0 Tax related fees 3 — 0 0 Other fees 4 -3 -2 -2 Total -12 -12 -10 1 Fees related to audit of annual financial statements and reviews of interim financial statements. 2 Fees charged for assurance and related services that are related to the performance of audit or review of the financial statements and are not reported under Audit fees. 3 Fees for professional services rendered by the principal independent auditors for tax compliance and tax advice. 4 Fees for products and services rendered by the principal independent auditors, other than the services reported in Audit fees through Tax related fees above. |
Tangible and intangible assets
Tangible and intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Tangible and intangible assets | |
Schedule of reconciliation of changes in tangible and intangible assets. | Skr mn Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Net book value Tangible assets 22 28 26 Right-of-use assets 25 50 — Intangible assets 1 98 56 43 Total net book value 145 134 69 Depreciation and impairment during the year according to the Consolidated Statement of Comprehensive Income -51 -57 -40 Intangible assets consist of the capitalized portion of investments in IT systems. The average useful life for intangible assets is 5 years. |
Leasing (Tables)
Leasing (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leasing | |
Schedule of right of use asset | Skr mn 2020 2019 Opening balance 50 94 Depreciation -27 -32 Addition/Deduction 1 2 -12 Closing balance 25 50 1 There have been cancelled and new leases. During 2019 the estimation of lease liability and right-of-use assets also has changed. Future cash flows relating to real estate tax and non-deductible value added tax are no longer included. This change means that lease liability and right-of-use assets have decreased by Skr 13 million. |
Schedule of leasing amounts accounted for in profit or loss | Skr mn 2020 2019 Depreciation charge on right-of-use assets -27 -32 Interest expenses on lease liability Expenses relating to short-term leases 1 Expenses relating to low-value leases 1 -1 -1 Variable lease fees 1 -6 -1 Total amount accounted for in profit or loss -34 -34 1 Accounted for under Other administrative expenses. |
Schedule of lease liability | Skr mn 2020 2019 Opening balance Interest expenses accrued Payments of lease liability -27 -39 Addition/Deduction 1 -12 Closing balance 1 There have been cancelled and new leases. During 2019 the estimation of lease liability and right-of-use assets also has changed. Future cash flows relating to real estate tax and non-deductible value added tax are no longer included. This change means that lease liability and right-of-use assets have decreased by Skr 13 million. |
Schedule of contractual flows of lease liability | Skr mn 2020 2019 Within 1 year 18 26 Between 1 and 5 years 1 18 Discounting effect 0 Closing balance 19 44 |
Schedule of cost of operating leases | Skr mn 2018 Leases -32 |
Schedule of future minimum rentals payable under non-cancellable operating leases | Skr mn Dec 31, 2018 Within 1 year -32 Between 1 and 5 years -60 More than 5 years — Total future minimum rentals payable under non-cancellable operating leases -92 |
Schedule of reconciliation between gross investment and present value of minimum lease payments | December 31, 2020 December 31, 2019 December 31, 2018 Present value of Present value of Present value of Gross minimum lease Gross minimum lease Gross minimum lease Skr mn investment payments investment payments investment payments Within 1 year 102 99 63 61 117 113 Between 1 and 5 years 91 81 87 78 182 156 More than 5 years 19 14 — — 8 5 Total 212 194 150 139 307 274 Unearned finance income — 17 — 14 — 33 Unguaranteed residual value — — — — — — |
Impairments (Tables)
Impairments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Impairments | |
Schedule of impairment | Skr mn 2020 2019 2018 Expected credit losses, stage 1 -98 -19 6 Expected credit losses, stage 2 -48 11 14 Expected credit losses, stage 3 -7 -17 -13 Established credit losses -20 -25 — Reserves applied to cover established credit losses 20 40 — Recovered credit losses — — 0 Net credit losses -153 -10 7 |
Schedule of balances and reconciliation of changes in balances and loss allowances by stages | December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Loans, before expected credit losses Loans in the form of interest-bearing securities 47,095 3,719 — 50,814 40,909 2,735 — 43,644 Loans to credit institutions 8,834 509 — 9,343 9,578 541 — 10,119 Loans to the public 142,179 28,109 1,482 171,770 132,313 30,326 1,316 163,955 Total loans, before expected credit losses 198,108 32,337 1,482 231,927 182,800 33,602 1,316 217,718 Off balance, before expected credit losses Guarantees 2,463 1,506 — 3,969 3,232 1,161 — 4,393 Committed undisbursed loans 25,893 32,642 — 58,535 28,083 26,856 11 54,950 Total, before expected credit losses 226,464 66,485 1,482 294,431 214,115 61,619 1,327 277,061 of which guaranteed 59.5 % 84.6 % 97.6 % 63.2 % 56.4 % 92.1 % 95.4 % 62.2 % Loss allowance, loans Loans in the form of interest-bearing securities -20 -13 — -33 -14 -2 — -16 Loans to credit institutions -6 0 — -6 -1 0 — -1 Loans to the public -113 -42 -46 -201 -36 -7 -64 -107 Total loss allowance, loans -139 -55 -46 -240 -51 -9 -64 -124 Loss allowance, off balance 1 Guarantees 0 0 — — 0 0 0 0 Committed undisbursed loans -8 -1 — -9 -3 -1 — -4 Total, loss allowance -147 -56 -46 -249 -54 -10 -64 -128 Provision ratio 0.06 % 0.08 % 3.10 % 0.08 % 0.03 % 0.02 % 4.82 % 0.05 % 1 Recognized under provision in Consolidated Statement of Financial Position. Loans and off balance, before loss allowance December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Opening balance 214,115 61,619 1,327 277,061 202,583 60,678 1,425 264,686 Increase due to origination and acquisition 134,041 25,944 815 160,800 73,812 5,633 113 79,558 Transfer to stage 1 683 -872 — -189 13 -16 — -3 Transfer to stage 2 -8,391 7,422 -159 -1,128 -6,752 6,281 — -471 Transfer to stage 3 — -42 34 -8 -97 -199 286 -10 Decrease due to derecognition -113,984 -27,586 -535 -142,105 -55,444 -10,758 -497 -66,699 Closing balance 226,464 66,485 1,482 294,431 214,115 61,619 1,327 277,061 Loss allowance December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Opening balance -54 -10 -64 -128 -34 -21 -84 -139 Increases due to origination and acquisition -84 0 — -84 -22 -1 0 -23 Net remeasurement of loss allowance -23 -48 2 -69 -4 7 7 10 Transfer to stage 1 0 0 — — 0 0 — 0 Transfer to stage 2 1 -1 0 — 0 0 — 0 Transfer to stage 3 — 1 -10 -9 0 2 -24 -22 Decreases due to derecognition 8 0 0 8 6 4 — 10 Decrease in allowance account due to write-offs — — 20 20 — — 40 40 Exchange-rate differences 1 5 2 6 13 0 -1 -3 -4 Closing balance -147 -56 -46 -249 -54 -10 -64 -128 1 Recognized under Net results of financial transactions in the Statement of Comprehensive Income. |
Summary of loan credit quality, before expected credit losses, allocated by stage | December 31, 2020 December 31, 2019 Skr mn Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total AAA 37 — — 37 546 — — 546 AA+ to A- 29,261 — — 29,261 31,421 — — 31,421 BBB+ to BBB- 130,068 1,166 — 131,234 116,040 1,147 — 117,187 BB+ to BB- 32,281 23,201 — 55,482 23,378 20,381 — 43,759 B+ to B- 5,998 7,053 — 13,051 11,411 11,894 — 23,305 CCC to D 463 917 1,482 2,862 4 180 1,316 1,500 Total, before expected credit losses 198,108 32,337 1,482 231,927 182,800 33,602 1,316 217,718 |
Taxes (Tables)
Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Taxes | |
Schedule of components of income taxes | Skr mn 2020 2019 2018 Income tax Adjustment previous year -4 2 -1 Current tax -266 -570 -448 Deferred tax 0 291 245 Total income tax -270 -277 -204 |
Schedule of income tax related to other comprehensive income | Income tax related to other comprehensive income Tax on items to be reclassified to profit or loss Current tax — 2 6 Deferred tax — — — Tax on items not to be reclassified to profit or loss Current tax -1 -5 -82 Deferred tax -4 1 10 Income tax related to other comprehensive income -5 -2 -66 |
Schedule of reconciliation of effective tax rate | Reconciliation of effective tax rate The Swedish corporate tax rate (percent) 21.4 21.4 22.0 Profit before taxes 1,238 1,304 852 National tax based on profit before taxes -265 -279 -187 Tax effects of: Non-taxable income 0 9 0 Non-deductible expenses -1 -16 -14 Imputed interest on tax allocation reserve — -1 -2 Tax effect of dissolution of untaxed reserves due to changed tax rate — 8 — Other -4 2 -1 Total tax -270 -277 -204 Effective tax expense (percent) 21.8 21.2 24.0 |
Schedule of deferred taxes | Skr mn 2020 2019 Deferred tax assets concerning: Temporary differences, related to -pensions 15 16 Other temporary differences — — Total deferred tax assets 15 16 Deferred tax liabilities concerning: Untaxed reserves — — Total deferred tax liabilities — — Net deferred tax liabilities (-) / tax assets (+) 15 16 |
Schedule of changes in deferred taxes | Skr mn 2020 2019 Opening balance 16 -276 Change through profit or loss 0 291 Change in other comprehensive income -1 1 Closing balance 15 16 |
Loans and liquidity investmen_2
Loans and liquidity investments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Loans and liquidity investments. | |
Schedule of loans and liquidity investments | Dec 31, Dec 31, Skr mn 2020 2019 Loans: Loans in the form of interest-bearing securities 50,780 43,627 Loans to credit institutions 31,315 27,010 Loans to the public 171,562 163,848 Less: Cash collateral under the security agreements for derivative contracts -21,979 -16,891 Total loans 231,678 217,594 Liquidity investments: Cash and cash equivalents 3,362 1,362 Cash collateral under the security agreements for derivative contracts 1 — Treasuries/government bonds 22,266 8,344 Other interest-bearing securities except loans 33,551 53,906 Total liquidity investments 59,179 63,612 of which issued by public authorities 25,262 13,452 |
Schedule of difference between book value amount and amount contractually required to be paid at maturity for interest-bearing securities not carried at fair value | Skr mn 2020 2019 Sum of amounts exceeding nominal 148 350 Sum of amounts falling below nominal -10 -39 |
Schedule of volume development, lending | of which the CIRR-system Skr mn 2020 2019 2020 2019 Offers of long-term loans accepted 125,470 74,515 18,350 15,500 Undisbursed loans at year-end 57,213 52,150 51,463 47,868 Loans outstanding at year-end 1 231,678 217,594 69,163 76,120 1 Including concessionary loans in the amount of Skr 382 million (year-end 2019: Skr 547 million). |
Schedule of outstanding loans as per business area | of which the CIRR-system December 31, December 31, December 31, December 31, Skr mn 2020 2019 2020 2019 Lending to Swedish exporters 120,050 96,429 — — Lending to exporters’ customers 111,628 121,165 69,163 76,120 Total lending 1 231,678 217,594 69,163 76,120 1 Includ ing concessionary loans in the amount of Skr 382 million (year-end 2019: Skr 547 million). |
Classification of financial a_2
Classification of financial assets and liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Classification of financial assets and liabilities | |
Schedule of financial assets by accounting category | December 31, 2020 Financial assets at fair value through profit or loss Derivatives used for hedge Skr mn Mandatorily accounting Amortized cost Total Cash and cash equivalents — — 3,362 3,362 Treasuries/government bonds 22,266 — — 22,266 Other interest-bearing securities except loans 33,551 — — 33,551 Loans in the form of interest-bearing securities — — 50,780 50,780 Loans to credit institutions — — 31,315 31,315 Loans to the public — — 171,562 171,562 Derivatives 4,248 3,315 — 7,563 Total financial assets 60,065 3,315 257,019 320,399 December 31, 2019 Financial assets at fair value through profit or loss Derivatives used for hedge Skr mn Mandatorily accounting Amortized cost Total Cash and cash equivalents — — 1,362 1,362 Treasuries/government bonds 8,344 — — 8,344 Other interest-bearing securities except loans 53,906 — — 53,906 Loans in the form of interest-bearing securities — — 43,627 43,627 Loans to credit institutions — — 27,010 27,010 Loans to the public — — 163,848 163,848 Derivatives 4,380 2,588 — 6,968 Total financial assets 66,630 2,588 235,847 305,065 |
Schedule of financial liabilities by accounting category | December 31, 2020 Financial liabilities at fair value through profit or loss Designated upon Derivatives initial used for recognition hedge Skr mn Mandatorily (FVO) accounting Amortized cost Total Borrowing from credit institutions — — — 3,486 3,486 Borrowing from the public — — — 10,000 10,000 Debt securities issued — 47,388 — 226,588 273,976 Derivatives 24,921 — 474 — 25,395 Total financial liabilities 24,921 47,388 474 240,074 312,857 December 31, 2019 Financial liabilities at fair value through profit or loss Designated upon Derivatives initial used for recognition hedge Skr mn Mandatorily (FVO) accounting Amortized cost Total Borrowing from credit institutions — — — 3,678 3,678 Borrowing from the public — — — — — Debt securities issued — 56,705 — 212,634 269,339 Derivatives 16,954 — 3,102 — 20,056 Total financial liabilities 16,954 56,705 3,102 216,312 293,073 |
Financial assets and liabilit_2
Financial assets and liabilities at fair value (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Sub-classifications of financial information | |
Financial assets and liabilities at fair value | December 31, 2020 Surplus value (+) Skr mn Book value Fair value /Deficit value (-) Cash and cash equivalents 3,362 3,362 — Treasuries/governments bonds 22,266 22,266 — Other interest-bearing securities except loans 33,551 33,551 — Loans in the form of interest-bearing securities 50,780 52,091 1,311 Loans to credit institutions 31,315 31,424 109 Loans to the public 171,562 180,453 8,891 Derivatives 7,563 7,563 — Total financial assets 320,399 330,710 10,311 Borrowing from credit institutions 3,486 3,486 — Borrowing from the public 10,000 10,000 — Debt securities issued 273,976 274,552 576 Derivatives 25,395 25,395 — Total financial liabilities 312,857 313,433 576 December 31, 2019 Surplus value (+) Skr mn Book value Fair value /Deficit value (-) Cash and cash equivalents 1,362 1,362 — Treasuries/governments bonds 8,344 8,344 — Other interest-bearing securities except loans 53,906 53,906 — Loans in the form of interest-bearing securities 43,627 45,054 1,427 Loans to credit institutions 27,010 27,133 123 Loans to the public 163,848 169,612 5,764 Derivatives 6,968 6,968 — Total financial assets 305,065 312,379 7,314 Borrowing from credit institutions 3,678 3,678 — Debt securities issued 269,339 271,549 2,210 Derivatives 20,056 20,056 — Total financial liabilities 293,073 295,283 2,210 |
Schedule of fair value measurement of assets | December 31, 2020 Loans and accounts receivable Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Cash and cash equivalents 3,362 — — 3,362 3,362 Loans in the form of interest-bearing securities 306 51,785 — 52,091 50,780 Loans to credit institutions — 31,424 — 31,424 31,315 Loans to the public — 180,453 — 180,453 171,562 Total financial assets in fair value hierarchy 3,668 263,662 — 267,330 257,019 December 31, 2019 Loans and accounts receivable Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Cash and cash equivalents 1,362 — — 1,362 1,362 Loans in the form of interest-bearing securities 321 44,733 — 45,054 43,627 Loans to credit institutions — 27,133 — 27,133 27,010 Loans to the public — 169,584 — 169,584 163,848 Total financial assets in fair value hierarchy 1,683 241,450 — 243,133 235,847 December 31, 2020 Financial assets at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Treasuries/governments bonds 14,169 8,097 — 22,266 Other interest-bearing securities except loans 19,413 14,138 — 33,551 Derivatives — 5,985 1,578 7,563 Total financial assets in fair value hierarchy 33,582 28,220 1,578 63,380 December 31, 2019 Financial assets at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Treasuries/governments bonds 7,041 1,303 — 8,344 Other interest-bearing securities except loans 27,409 26,497 — 53,906 Derivatives — 4,483 2,485 6,968 Total financial assets in fair value hierarchy 34,450 32,283 2,485 69,218 |
Schedule of fair value measurement of liabilities | December 31, 2020 Other financial liabilities Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Borrowing from credit institutions — 3,486 — 3,486 3,486 Borrowing from the public — 10,000 — 10,000 10,000 Debt securities issued — 227,164 — 227,164 226,588 Total financial liabilities in fair value hierarchy — 240,650 — 240,650 240,074 December 31, 2019 Other financial liabilities Fair value Book value Skr mn Level 1 Level 2 Level 3 Total Total Borrowing from credit institutions — 3,669 — 3,669 3,678 Borrowing from the public — — — — — Debt securities issued — 213,654 — 213,654 212,634 Total financial liabilities in fair value hierarchy — 217,323 — 217,323 216,312 December 31, 2020 Financial liabilities at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Debt securities issued — 6,190 41,198 47,388 Derivatives — 23,554 1,841 25,395 Total financial liabilities in fair value hierarchy — 29,744 43,039 72,783 December 31, 2019 Financial liabilities at fair value through profit or loss Skr mn Level 1 Level 2 Level 3 Total Debt securities issued — 12,953 43,752 56,705 Derivatives — 17,593 2,463 20,056 Total financial liabilities in fair value hierarchy — 30,546 46,215 76,761 |
Schedule of financial assets and liabilities at fair value | Financial assets and liabilities at fair value in Level 3 December 31, 2020 Gains (+) and Gains (+) and losses (-) losses (-) Cur. Jan 1, Settlements Transfers to Transfers through profit or through other exchange- rate Dec 31, Skr mn 2020 Purchases & sales Level 3 from Level 3 loss 1 comprehensive income effects 2020 Debt securities issued -43,752 -10,584 16,285 -10,649 6,534 -1,345 44 2,269 -41,198 Derivatives, net 22 7 -400 — -1,259 -1,597 — 2,964 -263 Net assets and liabilities -43,730 -10,577 15,885 -10,649 5,275 -2,942 44 5,233 -41,461 Financial assets and liabilities at fair value in Level 3 December 31, 2019 Gains (+) and Gains (+) and losses (-) losses (-) Cur. Jan 1, Settlements Transfers to Transfers through profit or through other exchange- rate Dec 31, Skr mn 2019 Purchases & sales Level 3 from Level 3 loss 1 comprehensive income effects 2019 Debt securities issued -47,898 -10,702 21,314 — 1,040 -3,408 -43 -4,055 -43,752 Derivatives, net -4,587 -5 -299 1 -31 3,181 — 1,762 22 Net assets and liabilities -52,485 -10,707 21,015 1 1,009 -227 -43 -2,293 -43,730 1 Gains and losses through profit or loss, including the impact of exchange-rates, are reported as net interest income and net results of financial transactions. The unrealized fair value changes for assets and liabilities, including the impact of exchange rates, held as of December 31, 2020, amounted to a Skr 36 million gain (year-end 2019: Skr 69 million loss) and are reported as net results of financial transaction. |
Schedule of fair value related to credit risk | Fair value originating from credit risk The period's change in fair value origination (- liabilities increase/ + liabilities decrease) from credit risk (+income/ - loss) Skr mn December 31, 2020 December 31, 2019 2020 2019 CVA/DVA, net 1 -17 -12 -5 17 OCA 2 -108 -126 18 24 1 Credit value adjustment (CVA) and Debt value adjustment (DVA) reflects how the counterparties’ credit risk as well as SEK’s own credit rating affects the fair value of derivatives. 2 Own credit adjustment (OCA) reflects how the changes in SEK’s credit rating affects the fair value of financial liabilities measured at fair value through profit and loss. |
Level 3 | |
Sub-classifications of financial information | |
Schedule of sensitivity analysis - level 3 | December 31, 2020 Assets and liabilities Unobservable Range of estimates for Skr mn Fair Value 1 input unobservable input 2 Valuation method Sensitivity Max Sensitivity Min Equity -144 Correlation 0.12-(0.12) Option Model -6 6 Interest rate 4 Correlation 0.12-(0.12) Option Model 0 0 FX 9 Correlation 0.12-(0.12) Option Model -53 53 Other -132 Correlation 0.12-(0.12) Option Model 0 0 Sum derivatives,net -263 -59 59 Equity -14,836 Correlation 0.12-(0.12) Option Model 6 -6 Credit spreads 10BP - (10BP) Discounted cash flow 8 -8 Interest rate -13,181 Correlation 0.12-(0.12) Option Model 0 0 Credit spreads 10BP - (10BP) Discounted cash flow 65 -65 FX -13,070 Correlation 0.12-(0.12) Option Model 53 -53 Credit spreads 10BP - (10BP) Discounted cash flow 63 -63 Other -111 Correlation 0.12-(0.12) Option Model 0 0 Credit spreads 10BP - (10BP) Discounted cash flow 1 -1 Sum debt securities issued -41,198 196 -196 Total effect on total comprehensive income 3 137 -137 Sensitivity analysis - level 3 December 31, 2019 Assets and liabilities Unobservable Range of estimates for Skr mn Fair Value 1 input unobservable input 2 Valuation method Sensitivity Max Sensitivity Min Equity -345 Correlation 0.73-0.02 Option Model 1 -1 Interest rate 1,249 Correlation 0.16-(0.08) Option Model -64 63 FX -711 Correlation 0.80-0.10 Option Model 19 -16 Other -171 Correlation 0.53-(0.03) Option Model 0 0 Sum derivatives,net 22 -44 46 Equity -524 Correlation 0.73-0.02 Option Model -1 1 Credit spreads 10BP - (10BP) Discounted cash flow 14 -14 Interest rate -43,083 Correlation 0.16-(0.08) Option Model 65 -64 Credit spreads 10BP - (10BP) Discounted cash flow 70 -68 FX -39 Correlation 0.80-0.10 Option Model -20 17 Credit spreads 10BP - (10BP) Discounted cash flow 88 -87 Other -106 Correlation 0.53-(0.03) Option Model 0 0 Credit spreads 10BP - (10BP) Discounted cash flow 3 -3 Sum debt securities issued -43,752 219 -218 Total effect on total comprehensive income 3 175 -172 1 As per June 30, 2020, SEK has improved its methods to categorize derivatives and issued debt securities. 2 The sensitivity analysis shows the effect that a shift in correlations or SEK’s own credit spread has on Level 3 instruments. The table presents maximum positive and negative change in fair value when correlations or SEK’s own credit spread is shifted by +/– 0.12 and +/- 10 basis points, respectively. 3 When determining the total maximum/minimum effect on total comprehensive income the most adverse/favorable shift is chosen, considering the net exposure arising from the issued securities and the derivatives, for each correlation. The resulting effect related to correlation sensitivity is Skr +/- 0 million . The impact from SEK’s own credit spread amounts to Skr 137 million (year-end 2019: Skr 174 million) under a maximum scenario and Skr -137 million (year-end 2019: Skr -173 million) under a minimum scenario. |
Derivatives and hedge account_2
Derivatives and hedge accounting (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivatives and hedge accounting | |
Schedule of derivatives | Derivatives by categories December 31, 2020 December 31, 2019 Assets Liabilities Nominal Assets Liabilities Nominal Skr mn Fair value Fair value amounts Fair value Fair value amounts Interest rate-related contracts 323,664 3,998 12,367 304,242 Currency-related contracts 153,838 2,734 6,933 182,668 Equity-related contracts 15,598 236 584 16,387 Contracts related to commodities, credit risk, etc. 7,513 — 172 1,997 Total derivatives 500,613 6,968 20,056 505,294 of which derivatives used for economic hedges, December 31, 2020 December 31, 2019 accounted for as held-for-trading under IFRS 9 Assets Liabilities Nominal Assets Liabilities Nominal Skr mn Fair value Fair value amounts Fair value Fair value amounts Interest rate-related contracts 2,357 12,226 132,228 2,568 11,455 140,829 Currency-related contracts 1,423 10,310 132,029 1,544 4,708 153,707 Equity-related contracts 457 620 15,598 236 584 16,387 Contracts related to commodities, credit risk, etc. 11 1,765 7,513 0 172 1,997 Total derivatives 4,248 24,921 287,368 4,348 16,919 312,920 December 31, 2020 December 31, 2019 of which derivatives in fair-value hedges Assets Liabilities Nominal Assets Liabilities Nominal Skr mn Fair value Fair value amounts Fair value Fair value amounts Interest rate-related contracts 1,489 -453 191,435 1,430 912 163,413 Currency-related contracts 1,826 927 21,810 1,190 2,225 28,961 Total derivatives 3,315 474 213,245 2,620 3,137 192,374 1 The nominal amount of the instruments directly affected by the IBOR reform amounts to Skr 81,581 million (year-end 2019: Skr 87,915 million). Maturity analysis of the nominal amounts 1 of hedging instruments December 31, 2020 1 month 3 months 1 year Skr mn < 1 month < 3 months < 1 year < 5 years > 5 years Interest rate-related contracts Hedge of fixed rate assets 4 17 146 7,042 11,089 Hedge of fixed rate liabilities — 9,809 34,739 126,023 2,607 Currency-related contracts Hedge of fixed rate assets 41 61 427 3,240 633 Hedge of fixed rate liabilities — 425 1,920 11,066 4,491 December 31, 2019 1 month 3 months 1 year Skr mn < 1 month < 3 months < 1 year < 5 years > 5 years Interest rate-related contracts Hedge of fixed rate assets 116 225 2,254 4,960 9,296 Hedge of fixed rate liabilities — — 38,724 103,823 3,776 Currency-related contracts Hedge of fixed rate assets 6 26 2,030 Hedge of fixed rate liabilities — 421 7,920 12,876 4,882 1 Nominal amounts before off-set. |
Schedule of carrying amount of hedge items in fair value hedge and its adjustments | December 31, 2020 December 31, 2019 Assets Fair -value hedge Fair -value hedge Skr mn Book value adjustments Book value adjustments Loans in the form of interest-bearing securities 6,716 547 Loans to credit institutions 332 5 Loans to the public 13,032 1,044 14,353 930 Total 23,779 1,646 21,401 1,482 December 31, 2020 December 31, 2019 Liabilities Fair -value hedge Fair -value hedge Skr mn Book value adjustments Book value adjustments Debt securities issued 174,477 4,102 Total 174,477 4,102 |
Schedule of cash flow hedges reclassified to profit or loss | Skr mn 2020 2019 Interest income — 8 Interest expense — — Total 1 — 8 1 Relates to previously terminated cash flow hedges where comprehensive income is allocated over the previously hedged item’s remaining -maturity. |
Schedule of financial assets subject to offsetting, enforceable master netting arrangements and similar agreements | Dec 31, 2020 Dec 31, 2019 Skr mn Derivatives Derivatives Gross amounts of recognized financial assets 7,948 Amounts offset in the Statement of Financial Position -2,349 -980 Net amounts of financial assets -presented in the Statement of -Financial Position 6,968 Amounts subject to an enforceable master netting arrangement or -similar agreement not offset in the Statement of Financial Position related to: Financial instruments -2,354 -3,799 Cash collateral received -2,502 -2,352 Net amount 817 |
Schedule of financial liabilities subject to offsetting, enforceable master netting arrangements and similar agreements | Dec 31, 2020 Dec 31, 2019 Skr mn Derivatives Derivatives Gross amounts of recognized financial liabilities 21,036 Amounts offset in the Statement of Financial Position -2,349 -980 Net amounts of financial liabilities presented in the Statement of Financial Position 20,056 Amounts subject to an enforceable master netting arrangement or -similar agreement not offset in the Statement of Financial Position related to: Financial instruments -2,354 -3,799 Cash collateral paid -20,172 -15,871 Net amount 386 |
Shares (Tables)
Shares (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Shares | |
Schedule of shares in subsidiaries | Shares in subsidaries December 31, 2020 December 31, 2019 Skr mn Book value Number of shares Book value Number of shares SEKETT AB (reg. no 559132-9668) 0 50 0 50 |
Other assets (Tables)
Other assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other assets. | |
Schedule of other assets | Skr mn Dec 31, 2020 Dec 31, 2019 Claim against the State for CIRR loans and concessionary loans 12,359 9,124 Cash receivables, funding operations 465 181 Other 29 29 Total 12,853 9,334 |
Prepaid expenses and accrued _2
Prepaid expenses and accrued revenues (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Prepaid expenses and accrued revenues | |
Schedule of prepaid expenses and accrued revenues | Skr mn Dec 31, 2020 Dec 31, 2019 Interest income accrued 1,958 2,747 Prepaid expenses and other accrued revenues 29 0 Total 1,987 2,747 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt | |
Schedule of debt as per categories | December 31, 2020 Total debt excluding debt Total debt- Skr mn securities issued securities issued Total Exchange-rate related contracts — 19,207 19,207 Interest rate related contracts 13,486 254,377 267,863 Equity related contracts — 281 281 Contracts related to raw materials, credit risk etc — 111 111 Total debt outstanding 13,486 273,976 287,462 of which denominated in: Skr 16,547 USD 202,787 JPY 27,812 EUR 19,994 Other currencies 20,322 287,462 December 31, 2019 Total debt excluding debt Total debt- Skr mn securities issued securities issued Total Exchange-rate related contracts — 28,215 28,215 Interest rate related contracts 3,678 240,389 244,067 Equity related contracts — 629 629 Contracts related to raw materials, credit risk etc — 106 106 Total debt outstanding 3,678 269,339 273,017 of which denominated in: Skr 2,737 USD 186,021 JPY 32,509 EUR 19,813 Other currencies 31,937 |
Schedule of major borrowing programs | Value outstanding 1 Skr mn December 31, 2020 December 31, 2019 Medium-term note program: Unlimited Euro Medium-Term Note Programme 96,724 96,930 Unlimited SEC-registered U.S. Medium-Term Note Programme 160,945 151,750 Unlimited Swedish Medium-Term Note Programme 438 424 Unlimited MTN/STN AUD Debt Issuance Programme 4,544 4,598 Commercial paper program: USD 3,000,000,000 U.S. Commercial Paper Programme 10,006 10,644 USD 4,000,000,000 Euro-Commercial Paper Programme — — 1 Amortized cost excluding fair value adjustments. |
Schedule of liabilities in financing activities | Non-cash items Skr mn January 1, 2020 Cash Flow Exchange--rate Unrealized Accrued December 31, 2020 Senior debt 273,017 29,460 -17,004 1,989 — 287,462 Lease liability 44 -27 2 1 — 19 Derivatives - net 13,088 -8,651 11,819 1,576 — 17,832 Total liabilities in financing activities 286,149 20,782 -5,185 3,567 — 305,313 1 Refers to a changed estimate of the lease liability, see note 8. Non-cash items Skr mn January 1, 2019 Cash Flow Exchange--rate Unrealized Accrued December 31, 2019 Senior debt 257,847 -4,420 10,580 9,010 — 273,017 Lease liability 95 1 -39 — -12 2 — 44 Derivatives - net 15,405 4,049 -2,629 -3,737 — 13,088 Total liabilities in financing activities 273,347 -410 7,951 5,261 — 286,149 1 Refers to the opening balance of the lease liability, see note 1. 2 Refers to a changed estimate of the lease liability, see note 8. |
Other liabilities (Tables)
Other liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other liabilities | |
Schedule of other liabilities | Skr mn Dec 31, 2020 Dec 31, 2019 Cash payables, debt -purchases 194 2,011 Other 261 455 Total 455 2,466 |
Accrued expenses and prepaid _2
Accrued expenses and prepaid revenues (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accrued expenses and prepaid revenues | |
Schedule of accrued expenses and prepaid revenues | Skr mn Dec 31, 2020 Dec 31, 2019 Interest expenses accrued 1,843 2,541 Other accrued expenses and prepaid revenues 81 41 Total 1,924 2,582 |
Provisions (Tables)
Provisions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Provisions | |
Schedule of provisions | Consolidated Group Skr mn December 31, 2020 December 31, 2019 Pension liabilities 1 82 83 Long term employee benefit 8 6 Off balance, expected credit losses 2 9 4 Total 99 93 1 See note 5. 2 Provisions for expected credit losses are on the off-balance-sheet, in accordance with IFRS 9. See note 9. |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Equity | |
Schedule of components of equity | Consolidated Group December 31, December 31, Skr mn 2020 2019 Share capital 3,990 3,990 Legal reserve — — Fund for internally developed software — — Reserves/Fair value reserve Own credit risk -84 -98 Defined benefit plans -45 -45 Retained earnings 16,203 15,235 Total equity 20,064 19,082 |
Restricted and unrestricted equity | Consolidated Group Parent Company December 31, December 31, December 31, December 31, Skr mn 2020 2019 2020 2019 Restricted equity 4,282 4,235 4,282 4,235 Unrestricted equity 15,782 14,847 15,840 14,903 Total equity 20,064 19,082 20,122 19,138 |
Proposal for the distribution of profits | At the disposal of the Annual General Meeting 15,840 The Board of Directors proposes that the Annual General Meeting dispose of these funds as follows: - dividend to the shareholder of Skr 72.78 per share, amounting to 290 - remaining disposable funds to be carried forward 15,550 |
Pledged assets and contingent_2
Pledged assets and contingent liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Pledged assets and contingent liabilities | |
Schedule of pledged assets and contingent liabilities | Skr mn Dec 31, 2020 Dec 31, 2019 Collateral provided Cash collateral under the security agreements for derivative contracts 21,979 16,891 Contingent liabilities Guarantee commitments 3,969 4,393 Commitments Committed undisbursed loans 57,213 52,150 Binding offers 1,322 2,800 |
CIRR-system (Tables)
CIRR-system (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
CIRR-system | |
The disclosure of information about CIRR-systems. | Statement of comprehensive income for the CIRR-system Skr mn 2020 2019 2018 Interest income 2,170 2,074 1,624 Interest expenses -2,087 -1,912 -1,480 Interest compensation 14 1 20 Foreign exchange effects 4 5 9 Profit before compensation to SEK 101 168 173 Administrative remuneration to SEK -196 -192 -155 Operating profit CIRR-system -95 -24 18 Reimbursement to (-) / from (+) the State 95 24 -18 Statement of financial position for the CIRR-system Skr mn Dec 31, 2020 Dec 31, 2019 Cash and cash equivalents 2 0 Loans 69,163 76,120 Derivatives — 26 Other assets 12,528 9,307 Prepaid expenses and accrued revenues 407 569 Total assets 82,100 86,022 Liabilities 69,289 76,257 Derivatives 12,232 9,117 Accrued expenses and prepaid revenues 579 648 Total liabilities and equity 82,100 86,022 Commitments Committed undisbursed loans 51,463 47,868 Binding offers 1,322 37 |
Capital adequacy (Tables)
Capital adequacy (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Capital adequacy | |
Schedule of capital adequacy | December 31, 2020 December 31, 2019 Capital ratios percent 1 percent 1 Common Equity Tier 1 capital ratio 21.8 20.6 Tier 1 capital ratio 21.8 20.6 Total capital ratio 21.8 20.6 1 Capital ratios excl. of buffer requirements are the quotients of the relevant capital measure and the total risk exposure amount. See tables Own funds - adjusting items and Minimum capital requirements exclusive of buffer. December 31, 2020 December 31, 2019 Buffers requirement Skr mn percent 1 Skr mn percent 1 Institution specific Common-Equity Tier 1 capital requirement incl. of buffers 6,271 7.0 7,890 8.9 of which minimum Common Equity Tier 1 requirements 2 4,014 4.5 3,990 4.5 of which Capital conservation buffer 2,230 2.5 2,216 2.5 of which Countercyclical buffer 27 0.0 1,684 1.9 of which Systemic risk buffer — — — — Common Equity Tier 1 capital available as a buffer 3 12,310 13.8 11,171 12.6 1 Expressed as a percentage of total risk exposure amount. 2 The minimum requirements according to CRR (Regulation (EU) No 575/2013 of the European Parliament and of the Council of June 26, 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012) have fully come into force in Sweden without regard to the transitional period. The minimum requirements are 4.5 percent, 6.0 percent and 8.0 percent related to Common Equity Tier 1 capital, Tier 1 capital and total Own Funds respectively. 3 Common Equity Tier 1 capital ratio as reported less the minimum requirement of 4.5 percent and less 3.5 percent, consisting of Common Equity Tier 1 capital used to meet the Tier 1 and Tier 2 requirements, since SEK do not have any Additional Tier 1 or Tier 2 capital. December 31, 2020 December 31, 2019 Total capital requirement including buffers Skr mn percent 1 Skr mn percent 1 Total CRR capital requirement 2 9,393 10.5 10,993 12.4 Total FSA capital requirement 3 13,773 14.7 15,606 16.4 1 Expressed as a percentage of total risk exposure amount. 2 The requirement includes the minimum requirement of 8 percent, the capital conservation buffer and the countercyclical buffer. Expressed as a percentage of total risk exposure amount. 3 The requirement includes the minimum requirement of 8 percent, the capital conservation buffer and the countercyclical buffer and an additional capital requirement according to the Swedish FSA. See the additional capital requirement in the table below. Figures are calculated with one quarter lag. |
Schedule of additional capital requirement | December 31, 2020 December 31, 2019 Additional Capital requirement -according to Swedish FSA 2 Skr mn percent 1 Skr mn percent 1 Credit-related concentration risk 2,089 2.2 2,089 2.2 Interest rate risk in the banking book 844 0.9 844 0.9 Pension risk 11 0.0 11 0.0 Other Pillar 2 capital requirements 936 1.0 936 1.0 Capital planning buffer — — — — Total Additional Capital requirement according to Swedish FSA 3,880 4.1 3,880 4.1 1 Expressed as a percentage of total risk exposure amount. 2 Figures are calculated with one quarter lag. |
Schedule of own funds | Parent Company December 31, December 31, Skr mn 2020 2019 Share capital 1 3,990 3,990 Retained earnings 14,856 12,829 Accumulated other comprehensive income and other reserves 2 292 245 Independently reviewed profit net of any foreseeable charge or dividend 694 1,766 Common Equity Tier 1 (CET1) capital before regulatory adjustments 19,832 18,830 Additional value adjustments due to prudent valuation -306 -445 Intangible assets -98 -56 Gains or losses on liabilities valued at fair value resulting from changes in own credit -standing 77 93 Negative amounts resulting from the calculation of expected loss amounts -55 -115 Total regulatory adjustments to Common Equity Tier 1 capital -382 -523 Total Common Equity Tier 1 capital 19,450 18,307 Additional Tier 1 capital — — Total Tier 1 capital 19,450 18,307 Tier 2-eligible subordinated debt — — Credit risk adjustments 2 — — Total Tier 2 capital — — Total Own funds 19,450 18,307 1 For a detailed description of the instruments constituting share capital, see note 22. 2 The expected loss amount calculated under the IRB approach is a gross deduction from own funds. The gross deduction is decreased by impairment related to exposures for which expected loss is calculated. Excess amounts of such impairment will increase own funds. This increase is limited to 0.6 percent of SEK’s risk exposure amount under the IRB approach related to exposures to central governments, corporates and financial institutions. As of December 31, 2020, the limitation rule had no effect (year end 2019: no effect). |
Schedule of minimum capital requirements exclusive of buffers | Parent Company December 31, 2020 December 31, 2019 Risk Min. Risk Min. exposure capital exposure capital Skr mn EAD 1 amount requirement EAD 1 amount requirement Credit risk, standardized approach Corporates 2,245 2,245 180 2,367 2,367 189 Total credit risk, standardized approach 2,245 2,245 180 2,367 2,367 189 Credit risk, IRB approach Central governments 192,077 9,684 775 172,148 8,816 705 Financial institutions 2 30,661 6,764 541 45,437 10,802 864 Corporates 3 117,415 63,766 5,101 110,592 60,068 4,806 Non-credit-obligation assets 163 163 13 152 152 12 Total credit risk IRB approach 340,316 80,377 6,430 328,329 79,838 6,387 Credit valuation adjustment risk n.a. 2,284 183 n.a. 2,534 203 Foreign exchange risk n.a. 664 52 n.a. 695 56 Commodity risk n.a. 7 1 n.a. 9 1 Operational risk n.a. 3,625 290 n.a. 3,214 257 Total 342,561 89,202 7,136 330,696 88,657 7,093 1 Exposure at default (EAD) shows the size of the outstanding exposure at default. 2 Of which counterparty risk in derivative contracts: EAD Skr 5,535million (year-end 2019: Skr 5,613 million), Risk exposure amount of Skr 1,908 million (year-end 2019: Skr 1,980 million) and Capital requirement of Skr 153 million (year-end 2019: Skr 158 million). 3 Of which related to Specialized lending: EAD Skr 3,847 million (year-end 2019: Skr 3,646 million), Risk exposure amount of Skr 2,739 million (year-end 2019: Skr 2,352 million) and Capital requirement of Skr 219 million (year-end 2019: Skr 188 million). |
Schedule of credit risk by PD grade | December 31, 2020 December 31, 2019 AAA A+ A+ BBB+ to AA- to A– BBB+ BB+ to B– CCC to D AAA to AA- to A– to BBB– BB+ to B– CCC to D 0.003%– 0.02– to BBB– 0.54– 27.27– 0.003%– 0.02– 0.12– 0.54– 27.27– Skr mn 0.01% 0.07% 0.12–0.32% 6.80% 100% 0.01% 0.07% 0.32% 6.80% 100% Central governments EAD 186,722 5,287 — 68 — 166,286 5,862 — — — Average PD in % 0.004 0.05 — 4.14 — 0.004 0.05 — — — Average LGD in % 45.0 45.0 — 45.0 — 45.0 45.0 — — — Average risk weight in % 4.6 20.0 — 149.5 — 4.6 19.8 — — — December 31, 2020 December 31, 2019 A+ A+ AAA to A– BBB+ BB+ to B– CCC to D AAA to A– BBB+ BB+ to B– CCC to D to AA- 0.01%- 0.06– to BBB– 0.50– 28.91– to AA- 0.06– to BBB– 0.50– 28.91– Skr mn 0.04% 0.11% 0.16–0.32% 8.27% 100% 0.01%–0.04% 0.11% 0.16–0.32% 8.27% 100% Financial institutions EAD 12,742 15,896 1,984 38 — 16,403 27,651 1,382 1 — Average PD in % 0.04 0.07 0.18 0.76 — 0.04 0.08 0.22 0.54 — Average LGD in % 36.7 35.7 45.0 45.0 — 35.3 37.1 45.0 45.0 — Average risk weight in % 17.3 22.1 50.3 131.5 — 17.1 25.7 64.6 99.9 — Corporates EAD 2,302 17,929 69,263 24,063 12 5,995 19,438 58,945 22,548 20 Average PD in % 0.03 0.09 0.23 1.02 28.9 0.04 0.10 0.25 0.83 28.6 Average LGD in % 45.0 45.0 45.0 45.0 45.0 45.0 45.0 45.0 45.0 45.0 Average risk weight in % 19.4 30.6 49.4 86.6 263.7 19.7 33.1 51.7 86.8 263.7 |
Schedule of leverage ratio | December 31, December 31, Skr mn 2020 2019 Exposure measure for the leverage ratio On-balance-sheet -exposures 297,605 288,146 Off-balance-sheet -exposures 37,162 35,856 Total exposure measure 334,767 324,002 Leverage ratio 5.8 % 5.7 % |
Schedule of internally assessed capital adequacy | December 31, December 31, Skr mn 2020 2019 Credit risk 6,121 7,337 Operational risk 203 183 Market risk 1,140 1,109 Other risks 183 203 Capital planning buffer 2,831 992 Total 10,478 9,824 |
Risk information (Tables)
Risk information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Risk information | |
Schedule of credit risk exposure | December 31, 2020 Maximum credit-risk exposure Assets at fair value through Amortized Skr mn profit or loss costs Cash and cash equivalents — 3,362 Treasuries/government bonds 22,275 — Other interest-bearing securities except loans 33,663 — Loans in the form of interest-bearing securities — 50,947 Loans to credit institutions — 16,326 Loans to the public — 227,075 Derivatives 7,563 — Total financial assets 63,501 297,710 December 31, 2019 Maximum credit-risk exposure Assets at fair value through Amortized Skr mn profit or loss costs Cash and cash equivalents — 1,362 Treasuries/government bonds 8,370 — Other interest-bearing securities except loans 54,132 — Loans in the form of interest-bearing securities — 43,793 Loans to credit institutions — 11,235 Loans to the public — 222,814 Derivatives 6,968 — Total financial assets 69,470 279,204 December 31, 2020 Adjustment to carrying Multilateral Carrying amount from Central Regional development Public -sector Financial Skr bn amount exposure governments governments banks entity institutions Corporates Cash and cash equivalents 3.4 0.1 2.5 — — — 0.8 — Treasuries/government bonds 22.3 0.0 22.3 — — — — — Other interest-bearing -securities except loans 33.6 -0.2 3.2 7.9 3.2 4.2 13.2 2.1 Loans in the form of interest-bearing securities 50.8 0.0 2.9 — — — 0.5 47.4 Loans to credit institutions including cash and cash -equivalents 1 31.3 21.9 1.1 4.1 — — 3.4 0.8 Loans to the public 171.6 -1.6 99.7 0.3 0.3 6.6 66.3 Derivatives 7.6 2.1 — — — — 5.5 — Other assets 12.9 12.9 — — — — — — Total financial assets 333.5 35.2 131.7 12.3 3.5 4.2 30.0 116.6 Contingent liabilities and -commitments 2 62.5 1.3 53.8 — — — 0.9 6.5 Total 396 36.5 185.5 12.3 3.5 4.2 30.9 123.1 December 31, 2019 Adjustment to carrying Multilateral Carrying amount from Central Regional development Public -sector Financial Skr bn amount exposure governments governments banks entity institutions Corporates Cash and cash equivalents 1.4 -0.1 — — — — 1.5 — Treasuries/government bonds 8.3 -0.1 8.4 — — — — — Other interest-bearing -securities except loans 53.9 0.0 3.3 10.6 2.8 4.0 26.7 6.5 Loans in the form of interest-bearing securities 43.6 -0.2 — — — — 0.9 42.9 Loans to credit institutions including cash and cash -equivalents 1 27.0 16.9 0.9 5.1 — — 4.0 0.1 Loans to the public 163.8 -1.0 97.8 0.8 0.3 — 5.8 60.1 Derivatives 7.0 1.4 — — — — 5.6 0.0 Other assets 9.3 9.3 — — — — — — Total financial assets 314.3 26.2 110.4 16.5 3.1 4.0 44.5 109.6 Contingent liabilities and -commitments 2 59.3 0.0 50.8 — — — 1.2 7.3 Total 373.6 26.2 161.3 16.5 3.1 4.0 45.7 116.9 1 Skr 22.0 billion (2019: Skr 16.9 billion) of the book value for Loans to credit institutions is cash collateral under the CSAs for derivative contracts. 2 Contingent liabilities and commitments, except cash collateral. Interest-bearing securities Committed undisbursed loans, derivatives, and lending etc. Total Skr bn Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Exposure class Amount % Amount % Amount % Amount % Amount % Amount % Central governments 131.6 45.0 110.4 39.1 53.9 80.0 50.9 78.3 185.5 51.6 161.3 46.4 Regional governments 12.3 4.2 16.5 5.8 — — — — 12.3 3.4 16.5 4.7 Multilateral development banks 3.5 1.2 3.1 1.1 — — — — 3.5 1.0 3.1 0.9 Public sector entity 4.2 1.5 4.0 1.4 — — — — 4.2 1.2 4.0 1.2 Financial institutions 24.5 8.4 38.9 13.8 6.4 9.5 6.8 10.5 30.9 8.6 45.7 13.2 Corporates 116.0 39.7 109.6 38.8 7.1 10.5 7.3 11.2 123.1 34.2 116.9 33.6 Total 292.1 100.0 282.5 100.0 67.4 100.0 65.0 100.0 359.5 100.0 347.5 100.0 December 31, 2020 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments 11.3 3.6 2.4 0.8 — 42.0 12.1 12.7 — 84.9 Regional governments 1.4 — — — — — 7.9 0.0 — 9.3 Multilateral development banks — — — — — — — 3.1 — 3.1 Public sector entity — — — — — — — 4.3 — 4.3 Financial institutions — 1.2 0.1 1.0 0.8 — 13.3 10.4 0.2 27.0 Corporates 14.1 5.0 1.7 64.0 — 8.0 105.1 28.3 4.7 230.9 Total 26.8 9.8 4.2 65.8 0.8 50.0 138.4 58.8 4.9 359.5 December 31, 2019 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments 4.2 4.8 2.8 1.3 — 42.2 3.0 5.6 — 63.9 Regional governments 1.7 — — — — — 10.5 0.1 — 12.3 Multilateral development banks — — — — — — — 2.8 — 2.8 Public sector entity — — — — — — — 4.0 — 4.0 Financial institutions — 2.7 0.6 5.7 0.9 — 19.7 13.4 0.2 43.2 Corporates 21.1 8.6 1.4 65.1 — 7.6 82.6 31.3 3.6 221.3 Total 27.0 16.1 4.8 72.1 0.9 49.8 115.8 57.2 3.8 347.5 Geographical breakdown of net exposures by exposure class December 31, 2020 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments 0.1 0.4 2.4 1.6 — — 159.2 19.0 2.8 185.5 Regional governments — — — — — — 12.2 0.1 — 12.3 Multilateral development banks — — — — — — — 3.5 — 3.5 Public sector entity — — — — — — — 4.2 — 4.2 Financial institutions 0.0 1.2 0.6 1.7 0.8 — 11.4 15.0 0.2 30.9 Corporates 2.6 1.1 3.9 5.7 — 3.3 85.2 20.9 0.4 123.1 Total 2.7 2.7 6.9 9.0 0.8 3.3 268.0 62.7 3.4 359.5 December 31, 2019 Middle East/ Western Central and Africa/ Asia excl. North Latin Europe excl. Eastern Skr bn Turkey Japan Japan America Oceania America Sweden Sweden Europe Total Central governments — 0.6 2.8 2.8 — — 138.1 13.9 3.1 161.3 Regional governments — — — — — — 16.3 0.2 — 16.5 Multilateral development banks — — — — — — — 3.1 — 3.1 Public sector entity — — — — — — — 4.0 — 4.0 Financial institutions — 2.7 0.9 6.6 0.9 — 16.7 17.7 0.2 45.7 Corporates 4.5 1.7 3.8 4.0 — 2.8 80.1 19.9 0.1 116.9 Total 4.5 5.0 7.5 13.4 0.9 2.8 251.2 58.8 3.4 347.5 Gross exposures Europe, excluding Sweden, breakdown by exposure class December 31, 2020 Central Reginal Multilateral Public sector Financial Skr bn govern-ments -governments development banks entity -institutions Corporates Total Finland 2.4 0.0 0.3 — 0.1 6.2 9.0 Germany 2.2 — — 4.3 0.3 — 6.8 Spain — — — — 0.4 5.7 6.1 Austria 4.1 — — — 1.6 — 5.7 United Kingdom — — — — 2.2 2.7 4.9 Norway — — — — 0.1 4.6 4.7 Denmark 0.8 — — — 2.0 1.7 4.5 Luxembourg 1.0 — 2.8 — — — 3.8 France — — — — 2.1 1.4 3.5 Netherlands 1.0 — — — 1.5 0.5 3.0 Italy — — — — — 2.9 2.9 Poland — — — — — 2.9 2.9 Belgium 1.2 — — — 0.0 0.2 1.4 Belarus — — — — — 1.3 1.3 Switzerland — — — — — 1.2 1.2 Portugal — — — — — 0.7 0.7 Ireland — — — — 0.1 0.3 0.4 Serbia — — — — — 0.3 0.3 Russian Federation — — — — — 0.2 0.2 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Estonia — — — — 0.0 0.1 0.1 Ukraine — — — — — 0.0 0.0 Total 12.7 0.0 3.1 4.3 10.6 33.0 63.7 December 31, 2019 Central Reginal Multilateral Public sector Financial Skr bn -governments -governments development banks entity -institutions Corporates Total Spain — — — — 0.5 8.1 8.6 Germany 2.8 — — 4.0 0.5 — 7.3 Norway — — — — 2.0 5.1 7.1 Finland 0.6 0.1 — — 0.1 6.2 7.0 United Kingdom — — — — 2.4 2.6 5.0 Italy — — — — — 3.6 3.6 France — — — — 2.0 1.5 3.5 The Netherlands — — — — 3.2 0.2 3.4 Luxembourg 0.6 — 2.8 — — — 3.4 Poland — — — — — 3.1 3.1 Denmark — — — — 0.9 1.4 2.3 Belgium 1.6 — — — 0.0 0.2 1.8 Austria — — — — 1.7 — 1.7 Switzerland — — — — — 1.5 1.5 Portugal — — — — — 0.6 0.6 Russian Federation — — — — — 0.4 0.4 Ireland — — — — — 0.3 0.3 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Estonia — — — — 0.1 0.0 0.1 Ukraine — — — — — 0.0 0.0 Total 5.6 0.1 2.8 4.0 13.6 34.9 61.0 Net exposures Europe, excluding Sweden, breakdown by exposure class December 31, 2020 Multilateral Central Regional development Public sector Financial Skr bn -governments -governments banks entity -institution Corporates Total Finland 2.5 0.1 0.3 — 0.2 5.8 8.9 Germany 3.0 — — 4.2 1.0 0.4 8.6 France 4.7 — — — 2.6 0.6 8.0 United Kingdom 0.0 — — — 3.2 3.8 7.0 Austria 4.1 — — — 1.6 — 5.7 Denmark 1.0 — — — 2.5 1.7 5.2 Norway 0.2 — — — 0.2 4.4 4.8 Luxembourg 1.0 — 3.2 — — 0.4 4.6 Netherlands 1.3 — — — 1.6 0.3 3.2 Poland 2.9 — — — — 0.0 2.9 Belgium 1.1 — — — 0.7 0.7 2.5 Spain — — — — 1.3 0.6 1.9 Switzerland — — — — 0.1 0.7 0.8 Portugal — — — — — 0.7 0.7 Ireland — — — — — 0.6 0.6 Serbia — — — — — 0.3 0.3 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Italy — — — — — 0.1 0.1 Estonia — — — — 0.0 0.1 0.1 Total 21.9 0.1 3.5 4.2 15.2 21.3 66.2 December 31, 2019 Multilateral Central Regional development Public sector Financial Skr bn governments -governments banks entity -institution Corporates Total Germany 3.7 — — 4.0 1.0 0.4 9.1 France 6.3 — — — 1.6 0.1 8.0 United Kingdom 0.1 — — — 3.4 4.5 8.0 Norway 0.4 — — — 2.0 4.9 7.3 Finland 0.8 0.2 — — 0.2 5.6 6.8 Luxembourg 0.5 — 3.1 — — 0.8 4.4 The Netherlands 0.3 — — — 3.4 0.2 3.9 Denmark 0.2 — — — 1.8 1.3 3.3 Poland 3.1 — — — — 0.0 3.1 Belgium 1.6 — — — 0.6 0.2 2.4 Spain — — — — 1.7 0.4 2.1 Austria — — — — 1.7 — 1.7 Switzerland — — — — 0.2 0.5 0.7 Portugal — — — — — 0.6 0.6 Ireland — — — — — 0.3 0.3 Latvia — — — — 0.2 — 0.2 Iceland — — — — — 0.1 0.1 Italy — — — — — 0.1 0.1 Estonia — — — — 0.1 0.0 0.1 Total 17.0 0.2 3.1 4.0 17.9 20.0 62.2 Corporate exposures, broken down by industry 1 December 31, 2020 December 31, 2019 Skr bn Gross exposure Net exposure Gross exposure Net exposure IT and telecom 81.4 15.1 84.6 13.6 Industrials 43.2 42.1 46.6 40.7 Consumer goods 37.9 27.3 23.3 12.8 Financials 25.6 10.7 21.2 16.6 Materials 24.3 19.0 25.1 23.8 Utilities 12.0 4.8 13.7 4.4 Healthcare 4.8 3.8 4.8 4.6 Energy 1.2 0.1 1.8 0.2 Other 0.5 0.2 0.2 0.2 Total 230.9 123.1 221.3 116.9 1 In accordance with the reporting standard (GICS). |
Schedule of credit quality | December 31, 2020 Skr mn AAA AA+ till A- BBB+ till BBB- BB+ till B- CCC till D Carrying amount Cash and cash equivalents 3,362 3,362 Treasuries/government bonds 11,380 10,886 22,266 Other interest-bearing securities except loans 16,919 16,632 33,551 Loans in the form of interest-bearing securities 2,937 11,938 6,305 29,600 50,780 Loans to credit institutions 1,886 27,245 78 2,106 31,315 Loans to the public 90,244 21,682 18,062 41,549 25 171,562 Derivatives 5,846 1,717 7,563 Total financial assets 126,728 94,229 24,445 74,972 25 320,399 Committed undisbursed loans 52,669 1,374 1,145 2,025 57,213 December 31, 2019 Skr mn AAA AA+ till A- BBB+ till BBB- BB+ till B- CCC till D Carrying amount Cash and cash equivalents 711 651 — — — 1,362 Treasuries/government bonds 2,191 6,153 — — — 8,344 Other interest-bearing securities except loans 20,092 33,284 530 — — 53,906 Loans in the form of interest-bearing securities — 9,785 29,622 4,220 — 43,627 Loans to credit institutions 2,285 23,455 1,205 65 — 27,010 Loans to the public 85,619 28,503 31,327 18,399 — 163,848 Derivatives — 5,822 1,146 — — 6,968 Total financial assets 110,898 107,653 63,830 22,684 — 305,065 Committed undisbursed loans 48,246 1,307 807 1,790 — 52,150 |
Schedule of impact of credit risk hedges | Impact of credit-risk hedges December 31,2020 Gross exposures by exposure class whereof subject Multilateral to the write-down Central Regional development Public Financial requirement in Skr bn government governments banks Sector Entity institutions Corporates Total IFRS9 1 Amounts related to hedges issued by: Central governments 56.8 1.4 — — — 98.9 157.1 157.1 of which, guarantees issued by the EKN 56.1 1.4 — — — 89.1 146.6 146.6 of which, guarantees issued by other 0.7 — — — — 6.8 7.5 7.5 of which, other guarantees — — — — — 3.0 3.0 3.0 Regional governments — — — — 4.0 0.3 4.3 4.3 Multilateral development banks — — — — — 0.4 0.4 0.4 Financial institutions 0.0 — — — — 7.9 7.9 7.9 of which, credit default swaps — — — — — — — — of which, guarantees 0.0 — — — — 7.9 7.9 7.9 Corporates — — — — — 3.5 3.5 3.5 of which, credit insurance from -insurance companies — — — — — 0.6 0.6 0.6 of which, other guarantees — — — — — 2.9 2.9 2.9 Total hedged exposures 56.8 1.4 — — 4.0 111.0 173.2 173.2 Unhedged exposures 2 28.1 7.9 3.1 4.3 23.0 119.9 186.3 130.5 Total 84.9 9.3 3.1 4.3 27.0 230.9 359.5 303.7 1 Assets valued at accrued acquisition value, which are subject to the write-down requirements in IFRS 9. 2 Exposures whereby the hedge issuer belongs to the same group as the counterparty in the unhedged exposure have been reported as “Unhedged exposures.” The amounts for these were Skr 26.1 billion for corporates, Skr 0.6 billion for financial institutions and Skr 0.1 billion for central governments. December 31,2019 Gross exposures by exposure class whereof subject Multilateral to the write-down Central Regional development Public Financial requirement in Skr bn government governments banks Sector Entity institutions Corporates Total IFRS9 1 Amounts related to hedges issued by: Central governments 51.3 1.7 — — 0.0 95.7 148.7 148.7 of which, guarantees issued by the EKN 50.4 1.7 — — 0.0 83.0 135.1 135.1 of which, guarantees issued by other 0.9 — — — — 9.5 10.4 10.4 of which, other guarantees — — — — — 3.2 3.2 3.2 Regional governments — — — — 5.1 0.7 5.8 5.8 Multilateral development banks — — — — — 0.3 0.3 0.3 Financial institutions 0.0 — — — 0.0 7.7 7.7 7.7 of which, credit default swaps — — — — — — — — of which, guarantees 0.0 — — — 0.0 7.7 7.7 7.7 Corporates — — — — — 3.1 3.1 3.1 of which, credit insurance from -insurance companies — — — — — 1.6 1.6 1.6 of which, other guarantees — — — — — 1.5 1.5 1.5 Total hedged exposures 51.3 1.7 — — 5.1 107.5 165.6 165.6 Unhedged exposures 2 12.6 10.6 2.8 4.0 38.1 113.8 181.9 119.3 Total 63.9 12.3 2.8 4.0 43.2 221.3 347.5 284.9 1 Assets valued at accrued acquisition value, which are subject to the write-down requirements in IFRS 9. 2 Exposures whereby the hedge issuer belongs to the same group as the counterparty in the unhedged exposure have been reported as “Unhedged exposures.” The amounts for these were Skr 23.5 billion for corporates, Skr 4.2 billion for financial institutions and Skr 0.1 billion for central governments. |
Schedule of risk specific measures | Market risk, type Definition Risk profile Total risk: Value at Risk (VaR), stressed VaR (sVaR) VaR measures a potential negative impact on SEK’s own funds, in the form of unrealized gains or losses. The risk factors that primarily drive VaR are cross-currency basis spreads and interest rates. In SEK’s liquidity portfolio, the primary driver is the bond portfolio credit spread risk. At year-end 2020 VaR for SEK and the liquidity portfolio amounted to Skr 26 million (year-end 2019: Skr 18 million) and Skr 13 million (year-end 2019: Skr 10 million), and sVaR to Skr 100 million (year-end 2019: Skr 123 million). Total risk: Aggregated risk measure The Aggregated risk measure measures a potential negative impact on SEK’s own funds as a result of unrealized value changes from historical market movements. Monthly market movements dating back as far as 2007 are applied to current holdings to simulate possible outcomes. The worst outcome is reported as the Aggregated risk measure. The risk factors primarily driving the Aggregated risk measure are credit spreads and interest rates. Since the Aggregated risk measure is based on historical market data from 2007, the measure is comparable with stressed VaR (see above), although with another horizon. At the end of 2020, the Aggregated risk measure amounted to Skr 445 million (year-end 2019: Skr 452 million). Interest-rate risk regarding changes in the economic value of SEK’s port-folio (EVE) The interest-rate risk regarding changes in economic value is calculated by means of a 100 basis-point parallel shift in all yield curves. Positive and negative exposures are measured separately and whichever is largest, in absolute terms, comprises the exposure. The risk pertains to SEK’s overall business profile, particularly the balance between interest-bearing assets and liabilities in terms of volume and fixed interest terms. The risk measurement captures the long-term impact of changes in interest rates. At the end of 2020, the risk amounted to Skr 334 million (year-end 2019: Skr 252 million). Interest-rate risk regarding changes in future net interest income (NII) The net interest income risk is calculated as the impact on net interest income for the coming year if interest-rate fixings, new financing and investment must take place following a positive interest-rate shift of 100 basis points. The risk per currency is totaled in absolute terms. The risk pertains to SEK’s overall business profile, particularly the balance between interest-bearing assets and liabilities in terms of volume and fixed interest terms for the next year. The risk measurement captures the short-term impact of changes in interest rates. At the end of 2020, the combined exposure for NII risk including risk to NII from cross-currency basis spreads was Skr 271 million (year-end 2019: Skr 255 million). Risk to NII from cross-currency basis spreads The 12 ‑month risk to NII from cross-currency basis spreads is measured as the impact on SEK’s future earnings resulting from an assumed cost increase for transfers between currencies for which cross-currency basis swaps are used. The risk per currency is totaled in absolute terms. The risk is attributable to cases where funding and lending are not matched in terms of currency and, therefore, the future cost of converting funding to the desired currency is dependent on cross-currency basis spreads. Credit spread risk in assets Credit spread risk in assets is calculated as a potential impact on SEK’s own funds, in the form of unrealized gains or losses, as a result of a 100 basis-point shift in the credit spreads for those assets measured at fair value. The risk is attributable to SEK’s liquidity portfolio. At the end of 2020, the credit spread risk in assets was Skr 290 million (year-end 2019: Skr 357 million). Credit spread risk in own debt Credit spread risk in own debt can have a potential impact on SEK’s equity, in the form of unrealized gains or losses, as a result of changes in present value after all of SEK’s credit spreads have been shifted by 20 basis points. The risk is attributable to SEK’s structured debt measured at fair value. At year-end 2020, the credit spread risk in own debt amounted to Skr 312 million (year-end 2019: Skr 456 million). Cross-currency basis spread risk. The cross-currency basis spread risk measures the potential impact on SEK’s own funds, in the form of unrealized gains or losses, as a result of changes in cross-currency basis spreads. The risk is attributable to cross-currency basis swaps used by SEK to hedge the currency risk in the portfolio. At year-end 2020, the cross-currency basis spread risk amounted to Skr 233 million (year-end 2019:Skr 278 million). Currency risk The risk is calculated as the change in value of all foreign currency positions excluding unrealized changes in fair value at an assumed 10 percentage- point change in the exchange rate between the respective currency and the Swedish krona. The foreign exchange position mainly arises on an ongoing basis due to differences between revenues and costs (net interest margins) in foreign currency. At the end of 2020, the risk amounted to Skr 3 million (year-end 2019: Skr 4 million). Interest-rate volatility risk The risk is measured through a number of positive and negative shifts. The risk per underlying volatility is the most negative outcome of these shifts. The risk per underlying is totaled in absolute terms. The risk is attributable to SEK’s structured debt measured at fair value and interest rate floors in lending transactions. At the end of 2020, the risk amounted to Skr 79 million (year-end 2019: 50 million). Tenor basis spread risk Tenor basis spread risk measures the potential impact on SEK’s economic value, in the form of unrealized gains or losses, as a result of ten basis point shifts of interest rate curves of different tenors. Positive and negative exposures are measured separately and whichever is largest, in absolute terms, comprises the exposure. The risk is attributable to lending and borrowing with one and six month tenor which is not swapped to three month tenor. At the end of 2020, the total risk amounted to Skr 94 million (year-end: 87 million). Other risks - (equities, comodity and volatility risks) Measures unrealized gains or losses and are calculated with the aid of stress tests of underlying indices or volatilities. SEK’s equities and commodity risks, as well as FX volatility risks, only arise from structured borrowing. Although all structured cash flows are matched through a hedging swap, there could be an impact on SEK’s result. These risks are low, and arise because valuation of the bond, but not the swap, takes account of SEK’s own credit spread. |
Schedule of change in the market interest rate | Change in value should the market interest rate rise by one percentage point Impact on the value of assets and liabilities, including derivatives, should the market interest rate rise by one percentage point (+1)%. 2020 2019 of which, financial instruments of which, financial instruments measured at fair measured at fair value through profit or value Skr mn Total loss Total through profit or loss Foreign currency -200 146 -87 167 Swedish kronor -116 156 -140 128 Total -316 302 -227 295 Change in value should the market interest rate decline by one percentage point Impact on the value of assets and liabilities, including derivatives, should the market interest rate decline by one percentage point (‑1)%. 2020 2019 of which, financial instruments of which, financial instruments measured at fair measured at fair value through profit or value Skr mn Total loss Total through profit or loss Foreign currency 592 -128 304 -157 Swedish kronor 306 -150 265 -124 Total 898 -278 569 -281 |
Schedule of assets and liabilities denominated in foreign currency | December 31, 2020 December 31, 2019 Share at Share at Exchange year end, Currency positions Exchange year end, Currency positions Currency rate % at year end (Skr mn) rate % at year end (Skr mn) EUR 10.0181 1 -189 10.4474 1 -160 USD 8.1739 1 -148 9.3283 2 318 JPY 0.0793 0 -89 0.0857 1 -115 GBP 11.1683 0 -68 12.2457 0 -87 MXN 0.4117 1 -123 0.4947 0 -86 THB 0.2727 0 -60 0.3118 1 -109 Other — 0 -12 — 0 -16 Total foreign currency position 3 -569 5 -255 Currency risk is limited to accrued net income and is hedged regularly. In accordance with SEK’s rules for risk management, currency positions attributable to unrealized changes in fair value are not hedged. Currency positions excluding unrealized changes in fair value amounted to Skr -48 million (year-end 2019: Skr 5 million) at year end. Assets and liabilities denominated in foreign currency are included in the total volumes of assets and liabilities in the following amounts (in millions of Swedish kronor). Skr mn December 31, 2020 December 31, 2019 Total assets 335,399 317,296 of which, denominated in foreign currencies 194,607 204,840 Total liabilities 315,335 298,214 of which, denominated in foreign currencies 195,176 205,117 |
Summary of liquidity reserve | 1 December 31, 2020 Skr bn Total SKR EUR USD Other Securities issued or guaranteed by sovereigns, central banks or multilateral development banks 35.8 17.7 6.5 11.0 0.6 Securities issued or guaranteed by municipalities or other public entities 8.7 4.8 — 3.9 — Covered bonds issued by other institutions 7.5 7.5 — — — Balances with other banks and National Debt Office, overnight — — — — — Total Liquidity Reserve 52.0 30.0 6.5 14.9 0.6 December 31, 2019 Skr bn Total SKR EUR USD Other Securities issued or guaranteed by sovereigns, central banks or multilateral development banks 18.0 4.7 4.8 7.1 1.4 Securities issued or guaranteed by municipalities or other public entities 13.3 11.9 0.8 0.6 — Covered bonds issued by other institutions 11.1 11.1 — — — Balances with other banks and National Debt Office, overnight — — — — — Total Liquidity Reserve 42.4 27.7 5.6 7.7 1.4 1 The liquidity reserve is a part of SEK’s liquidity investments. |
Schedule of liquidity investments by remaining maturity | December 31, 2020 December 31, 2019 M ≤ 1 year 86 % 84 % 1 year < M ≤ 3 years 14 % 16 % M > 3 years 0 % 0 % |
Schedule of key figures for liquidity risk | Key figures for liquidity risk December 31, 2020 December 31, 2019 LCR under EU Commission’s delegated act 447 % 620 % NFSR 135 % 120 % |
Schedule of contractual flows | December 31, 2020 Due Due Due Due 1 month < 3 3 months < 1 1 year < 5 Due > 5 Discounting Carrying Skr mn < 1 month months year years years Total cash flow effect amount Financial assets Cash and cash equivalents 2,801 — — — — 2,801 561 3,362 Treasuries/government bonds — 10,204 10,857 1,190 — 22,251 15 22,266 Other interest-bearing securities except loans 1,639 6,932 17,975 7,085 — 33,631 -80 33,551 Loans in the form of interestbearing securities 68 6,053 3,928 31,518 12,116 53,683 -2,903 50,780 Loans to credit institutions 66 219 3,437 4,685 1,166 9,573 21,742 31,315 Loans to the public 3,798 8,998 29,475 102,065 41,094 185,430 -13,868 171,562 Derivatives 84 534 1,276 3,176 1,919 6,989 574 7,563 Total 8,456 32,940 66,948 149,719 56,295 314,358 6,041 320,399 of which derivatives in hedge relationship -6 49 353 1,074 632 2,102 1,213 3,315 December 31, 2020 Due Due Due Due 1 month < 3 months 1 year < 5 Due > 5 Discounting Carrying Skr mn < 1 month 3 months < 1 year years years Total cash flow effect amount Financial liabilities Borrowings from credit institutions -58 -147 -518 -1,151 -68 -1,942 -1,544 -3,486 Borrowings from the public — -2 -4 -9,999 — -10,005 5 -10,000 Debt securities issued -4,486 -31,436 -64,938 -162,367 -17,447 -280,674 6,698 -273,976 Derivatives -1,206 -3,333 -4,288 -2,632 -39 -11,498 -13,897 -25,395 Total -5,750 -34,918 -69,748 -176,149 -17,554 -304,119 -8,738 -312,857 of which derivatives in hedge relationship -8 -26 -143 -567 22 -722 248 -474 Obligations Committed undisbursed loans -4 -2,001 -4,633 -23,833 76,724 Liquidity surplus (+)/deficit (-) 2,702 -3,979 -7,433 -50,263 115,465 56,492 Accumulated liquidity surplus (+)/deficit (-) 2,702 -1,277 -8,710 -58,973 56,492 56,492 December 31, 2019 Due Due Due Due 1 month < 3 months 1 year < 5 Due Discounting Carrying Skr mn < 1 month 3 months < 1 year years > 5 years Total cash flow effect amount Financial assets Cash and cash equivalents 651 — — — — 651 711 1,362 Treasuries/government bonds 1,697 1,044 4,289 1,329 — 8,359 -15 8,344 Other interest-bearing securities except loans 6,581 12,417 26,399 8,903 — 54,300 -394 53,906 Loans in the form of interest-bearing securities 332 1,379 6,106 26,369 12,478 46,664 -3,037 43,627 Loans to credit institutions 486 17,204 1,928 6,334 1,592 27,544 -534 27,010 Loans to the public 4,583 10,054 33,443 86,241 44,376 178,697 -14,849 163,848 Derivatives 109 566 1,214 2,344 2,122 6,355 613 6,968 Total 14,439 42,664 73,379 131,520 60,568 322,570 -17,505 305,065 of which derivatives in hedge relationship -8 21 432 372 633 1,450 1,171 2,621 December 31, 2019 Due Due Due Due 1 month < 3 months 1 year < 5 Due > 5 Discounting Carrying Skr mn < 1 month 3 months < 1 year years years Total cash flow effect amount Financial liabilities Borrowings from credit -institutions -10 -3,680 — — — -3,690 12 -3,678 Debt securities issued -6,284 -27,985 -72,297 -155,386 -21,909 -283,861 14,522 -269,339 Derivatives -978 -1,517 -1,492 -3,106 40 -7,053 -13,003 -20,056 Total -7,272 -33,182 -73,789 -158,492 -21,869 -294,604 1,531 -293,073 of which derivatives in hedge relationship -8 30 -747 -1,096 -139 -1,960 -1,177 -3,137 Obligations Committed undisbursed loans -7,094 -1,944 -13,733 -4,652 27,424 Liquidity surplus (+)/deficit (-) 73 7,538 -14,143 -31,624 66,123 27,967 Accumulated liquidity surplus (+)/deficit (-) 73 7,611 -6,532 -38,156 27,967 27,967 |
Transactions with related par_2
Transactions with related parties (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Transactions with related parties | |
Schedule of consolidated Group's transactions with its related parties | 2020 Companies and organizations -controlled The shareholder, through a common owner, the Swedish government the Swedish government Total Interest Interest Interest income/ income/ income/ Assets/ interest Assets/ interest Assets/ interest Skr mn liabilities expense liabilities expense liabilities expense Cash 2,500 — — — 2,500 — Treasuries/government bonds 9,573 -21 — 0 9,573 -21 Other interest-bearing securities except loans — — — 2 — 2 Loans in the form of interestbearing securities — — 2,600 31 2,600 31 Loans to credit institutions — — 2,108 45 2,108 45 Loans to the public — — 1,025 27 1,025 27 Settlement claim against the State 1 12,359 — — — 12,359 — Total 24,432 -21 5,733 105 30,165 84 Borrowing from the public 10,000 — — — 10,000 10 Other liabilities 95 — — 10 95 — Total 10,095 — — 10 10,095 10 2019 Companies and organizations -controlled The shareholder, through a common owner, the Swedish government the Swedish government Total Interest Interest Interest income/ income/ income/ Assets/ interest Assets/ interest Assets/ interest Skr mn liabilities expense liabilities expense liabilities expense Cash — — — — — — Treasuries/government bonds 2,191 16 — — 2,191 16 Other interest-bearing securities except loans — — 600 -4 600 -4 Loans in the form of interestbearing securities — — 1,699 21 1,699 21 Loans to credit institutions — — 2,665 87 2,665 87 Loans to the public — — 2,056 53 2,056 53 Settlement claim against the State 1 9,124 — — — 9,124 — Total 11,315 16 7,020 157 18,335 173 Borrowing from the public — — — — — — Other liabilities 24 — — — 24 — Total 24 — — — 24 — 1 For information about “Settlement claim against State” see note 16 and note 24. |
Risk and capital management (Ta
Risk and capital management (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Risk and capital management | |
Schedule of division of responsibility for risk, liquidity and capital management | |
Schedule of detailed risk statement | Risk class Risk management Risk profile Risk appetite Proportion of Economic capital Credit risk Credit risk is the risk of losses due to the failure of a credit (or an arrangement similar to that of a credit) to be fulfilled. Credit risk is divided into issuer risk, counterparty risk, concentration risk, settlement risk and country risk (including transfer risk). Lending must be based on in-depth knowledge of SEK’s counterparties as well as counterparties’ repayment capacity. Lending must also be aligned with SEK’s mission based on its owner instruction. SEK’s credit risks are mitigated through a risk-based selection of counterparties and managed through the use of guarantees and other types of collateral. Furthermore, SEK’s lending is guided by the use of a normative credit policy, specifying principles for risk levels and lending terms. Concentrations that occur naturally as a result of the Company’s mission are accepted, but the Company continuously works towards reducing the risk of concentration where this is possible. SEK’s lending portfolio is of a high credit quality. The Company’s mission naturally entails certain concentration risks, such as geographical concentration risk in Sweden. The net risk is principally limited to counterparties with high creditworthiness, such as export credit agencies (ECAs), major Swedish exporters, banks and insurers. SEK invests its liquidity in high credit quality securities, primarily with short maturities. Moderate (SEK’s risk appetite for credit risk is higher than other risks.) 58.4% Liquidity risk Liquidity and refinancing risk is the risk, within a defined period of time, of the company not being able to refinance its existing assets or being unable to meet the need for increased liquidity. Liquidity risk also includes the risk of having to borrow funds at unfavorable interest rates or needing to sell assets at unfavorable prices in order to meet payment commitments. Liquidity risk encompasses refinancing risk and market liquidity risk. SEK must have diversified funding to ensure that funding is available through maturity for all credit commitments — credits outstanding as well as agreed but undisbursed credits. The size of SEK’s liquidity investments must ensure that new lending can take place even during times of financial stress. SEK has secured funding for all its credit commitments, including those agreed but not yet disbursed. In addition, the size of SEK’s liquidity investments allow new lending to continue at a normal pace, even during times of stress. As a consequence of SEK having secured funding for all its credit commitments, the remaining term to maturity for available funding is longer than the remaining term to maturity for lending. Low - Market risk Market risk is the risk of loss or change in future net income resulting from, for example, changes in interest rates, exchange rates, commodity prices or share prices. Market risk includes price risk in connection with sales of assets or the closing of exposures. SEK conducts no active trading. The core of SEK’s market risk strategy is to borrow funds in the form of bonds which, regardless of the market risk exposures in the bonds, are hedged by being swapped to a floating interest rate. Borrowed funds are used either immediately for lending, mainly at a floating rate of interest, or swapped to a floating rate, or to ensure that SEK has sufficient liquidity. The aim is to hold assets and liabilities to maturity. SEK’s business model leads to exposure mainly to spreads, interest-rate risk and currency risk. SEK’s largest net exposures are to changes in spreads, mainly to credit spreads associated with assets and liabilities and to cross-currency basis spreads. Low 10.9% Operational risk Operational risk is the risk of losses resulting from inappropriate, inadequate or faulty internal processes or procedures, systems, human error, or from external events. Operational risk includes legal, IT and information security risk. SEK manages operational risk on an ongoing basis, mainly through efficient internal control procedures, performing risk analysis before changes, a focus on continuous improvements and business continuity management. Costs to reduce risk exposures must be in proportion to the effect that such measures have. Operational risks arise in all parts of the business. The vast majority of incidents that have occurred are minor events that are rectified promptly within each function. Overall operational risk is low as a result of effective internal control measures and a focus on continuous improvement. Low 1.9% Compliance risk Compliance risk is the risk of failure to meet obligations pursuant on the one hand to legislation, ordinances and other regulations, and on the other hand to internal rules. Compliance risk includes the risk of money laundering and financing of terrorism. SEK works continuously to develop tools and knowledge to help identify the company’s compliance risks. The company analyses and monitors compliance risks with the intention of continuously reducing the risk of non-compliance with regulations pertaining to operations requiring permits. SEK’s operations lead to exposure to the risk of failing to comply with current regulatory requirements and ordinances in markets in which the company operates. Low - Business and strategic risk Strategic risk is the risk of lower revenue because strategic initiatives fail to achieve the pursued results, inefficient organizational changes, improper implementation of decisions, unwanted effects from outsourcing, or the lack of adequate response to changes in the regulatory and business environment. Strategic risk focuses on large-scale and structural risk factors. Business risk is the risk of an unexpected decline in revenue resulting from, for example, changes to competitive conditions with a decrease in volumes and/or falling margins. SEK’s executive management is responsible for identifying and managing strategic risks and monitoring the external business environment and developments in the markets in which SEK conducts operations and for proposing the strategic direction to the Board. A risk analysis in the form of a self-assessment concerning strategic risk is to be conducted each year. SEK’s strategic risks mainly arise through changes in the external operating environment, such as market conditions, which could result in limited lending opportunities for SEK, and regulatory reforms from two perspectives: (1) the impact of these reforms on SEK’s business model; and (2) the requirements on the organization resulting from increased regulatory complexity. Low to moderate - Sustainability risk Sustainability risk is the risk that SEK’s operations directly or indirectly impact their surroundings negatively with respect to business ethics, corruption, climate and the environment, human rights and labor conditions. Human rights includes the child rights perspective; labor conditions encompasses gender equality and diversity; and ethics includes tax transparency. Sustainability risks are managed according to a risk-based approach. In cases of heightened sustainability risk, a detailed sustainability review is performed and measures could be required in order to mitigate environmental and social risks. Requirements are based on national and international regulations and guidelines within the areas of environment and climate, anti-corruption, human rights including labor conditions and business ethics including tax. SEK is indirectly exposed to sustainability risks in connection to its lending activities. High sustainability risks could occur in financing of large projects or businesses in countries with high risk of corruption or human rights violations. Low to moderate - |
Significant accounting polici_4
Significant accounting policies - Impact on statement of comprehensive income (Details) - SEK (kr) kr in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Change in CIRR accounting | ||||
Interest income calculated using effective interest method | [1] | kr 4,960 | kr 5,703 | kr 4,866 |
Other interest income | [1] | (852) | 654 | 500 |
Interest expenses | [1] | (2,162) | (4,640) | (3,924) |
Net interest income | 1,946 | 1,717 | 1,442 | |
Old policy | ||||
Change in CIRR accounting | ||||
Interest income calculated using effective interest method | 3,495 | 5,187 | 4,390 | |
Other interest income | 384 | 896 | 763 | |
Interest expenses | (1,933) | (4,366) | (3,711) | |
Net interest income | 1,946 | 1,717 | 1,442 | |
Change | ||||
Change in CIRR accounting | ||||
Interest income calculated using effective interest method | 1,465 | 516 | 476 | |
Other interest income | (1,236) | (242) | (263) | |
Interest expenses | kr (229) | kr (274) | kr (213) | |
[1] | Since Q4 2020, SEK has changed the accounting principle regarding the CIRR-system. The comparative figures have been adjusted, see Note 1. |
Significant accounting polici_5
Significant accounting policies - Segment reporting (Details) | 12 Months Ended |
Dec. 31, 2020segment | |
Significant accounting policies | |
Number of reportable segments | 1 |
Significant accounting polici_6
Significant accounting policies - Financial instruments (Details) | 12 Months Ended |
Dec. 31, 2020item | |
Significant accounting policies | |
Minimum difference between original and new remaining cash flows for terms to be deemed substantially different | 10.00% |
Number of scenarios prepared for each PD curve | 3 |
Number of credit conversion factors | 2 |
Significant accounting polici_7
Significant accounting policies - Taxes (Details) | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 |
Significant accounting policies | |||||
Expected tax rate for calculation of deferred tax | 20.60% | 21.40% | 21.40% | 22.00% | 21.40% |
Significant accounting polici_8
Significant accounting policies - Fair value measurement (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of fair value measurement of assets | ||
Financial assets at fair value | kr 330,710 | kr 312,379 |
Financial liabilities at fair value | 313,433 | 295,283 |
Level 3 | Maximum | ||
Disclosure of fair value measurement of assets | ||
Effect of changing the non-observable parameters | 137 | 175 |
Level 3 | Minimum | ||
Disclosure of fair value measurement of assets | ||
Effect of changing the non-observable parameters | (137) | (172) |
Fair value | Level 2 | ||
Disclosure of fair value measurement of assets | ||
Financial assets at fair value | 28,000 | 32,000 |
Financial liabilities at fair value | kr 30,000 | kr 31,000 |
Percentage of total financial assets | 9.00% | 11.00% |
Percentage of total financial liabilities | 10.00% | 10.00% |
Fair value | Level 3 | ||
Disclosure of fair value measurement of assets | ||
Financial assets at fair value | kr 2,000 | kr 2,000 |
Financial liabilities at fair value | kr 43,000 | kr 46,000 |
Percentage of total financial assets | 0.00% | 1.00% |
Percentage of total financial liabilities | 14.00% | 16.00% |
Significant accounting polici_9
Significant accounting policies - Provisions for expected credit losses (Details) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020SEK (kr)item | Dec. 31, 2019SEK (kr) | Dec. 31, 2018SEK (kr) | |
Sensitivity analysis | |||
Decrease in number of steps of deterioration for sensitivity analysis | item | 1 | ||
Increase (decrease) in impairment of financial instruments if significant increase in credit risk had been one step of deterioration less | kr 4 | kr 23 | |
Increase in number of steps of deterioration for sensitivity analysis | item | 1 | ||
Increase (decrease) in impairment of financial instruments if significant increase in credit risk had been one step of deterioration more | kr 0 | (1) | |
Number of scenarios prepared for each PD curve | item | 3 | ||
Weight of downturn scenario for sensitivity analysis | 100.00% | ||
Increase (decrease) in impairment of financial instruments if downturn scenario weighted 100 percent | kr 12 | 11 | |
Weight of upturn scenario for sensitivity analysis | 100.00% | ||
Increase (decrease) in impairment of financial instruments if upturn scenario weighted 100 percent | kr (11) | (16) | |
Increase in future cash flows for sensitivity analysis | 10.00% | ||
Increase (decrease) in operating profit due to increase in future cash flows | kr 25 | 13 | |
Increase (decrease) in equity due to increase in future cash flows | kr 20 | 10 | |
Decrease in future cash flows for sensitivity analysis | 10.00% | ||
Increase (decrease) in operating profit due to decrease in future cash flows | kr (25) | (13) | |
Increase (decrease) in equity due to decrease in future cash flows | (20) | (10) | |
Gross carrying amount | |||
Sensitivity analysis | |||
Lending including off-balance | 294,431 | 277,061 | kr 264,686 |
Accumulated impairment | |||
Sensitivity analysis | |||
Lending including off-balance | kr (249) | kr (128) | kr (139) |
Net interest income (Details)
Net interest income (Details) - SEK (kr) kr in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Interest income were related to: | ||||
Interest income | kr 4,108 | kr 6,357 | kr 5,366 | |
Interest expenses | ||||
Interest expenses excl. resolution fee | (2,076) | (4,471) | (3,658) | |
Resolution fee | (86) | (169) | (266) | |
Total interest expenses | [1] | (2,162) | (4,640) | (3,924) |
Net interest income | 1,946 | 1,717 | 1,442 | |
Financial liabilities at fair value through profit or loss | ||||
Interest expenses | ||||
Total interest expenses | 725 | 1,158 | 685 | |
Derivative used for hedge accounting, liabilities | ||||
Interest expenses | ||||
Total interest expenses | 1,904 | (286) | 106 | |
Financial liabilities at amortized cost | ||||
Interest expenses | ||||
Total interest expenses | (4,731) | (5,431) | (4,584) | |
Financial assets at fair value through profit or loss. | ||||
Interest income were related to: | ||||
Interest income | (1,070) | 452 | 283 | |
Interest expenses | ||||
Total interest expenses | (60) | (72) | (104) | |
Derivatives used for hedge accounting, assets | ||||
Interest income were related to: | ||||
Interest income | (396) | (303) | (261) | |
Financial assets at amortized cost | ||||
Interest income were related to: | ||||
Interest income | 5,574 | 6,208 | 5,344 | |
Interest expenses | ||||
Total interest expenses | 0 | (9) | (27) | |
Loans to credit institutions | ||||
Interest income were related to: | ||||
Interest income | 236 | 546 | 1,498 | |
Loans to the public | ||||
Interest income were related to: | ||||
Interest income | 4,210 | 4,597 | 2,965 | |
Loans in the form of interest-bearing securities | ||||
Interest income were related to: | ||||
Interest income | 897 | 829 | 672 | |
Interest-bearing securities excluding loans in the form of interest-bearing securities | ||||
Interest income were related to: | ||||
Interest income | 242 | 686 | 523 | |
Derivatives | ||||
Interest income were related to: | ||||
Interest income | (1,708) | (538) | (501) | |
Administrative remuneration CIRR-system | ||||
Interest income were related to: | ||||
Interest income | 197 | 194 | 157 | |
Administrative remuneration for concessionary loans | 1 | 2 | ||
Other assets | ||||
Interest income were related to: | ||||
Interest income | kr 34 | kr 43 | kr 52 | |
[1] | Since Q4 2020, SEK has changed the accounting principle regarding the CIRR-system. The comparative figures have been adjusted, see Note 1. |
Net interest income - Geographi
Net interest income - Geographical areas and product group (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net interest income | |||
Interest income | kr 4,108 | kr 6,357 | kr 5,366 |
Lending to Swedish exporters | |||
Net interest income | |||
Interest income | 1,921 | 1,954 | 1,709 |
Lending to exporters' customers | |||
Net interest income | |||
Interest income | 1,229 | 1,784 | 1,665 |
Remuneration from the CIRR-system | 196 | 192 | |
Liquidity | |||
Net interest income | |||
Interest income | 958 | 2,619 | 1,992 |
Sweden | |||
Net interest income | |||
Interest income | 1,223 | 1,281 | 1,114 |
Europe except Sweden | |||
Net interest income | |||
Interest income | (166) | 1,340 | 1,288 |
Countries outside of Europe | |||
Net interest income | |||
Interest income | kr 3,051 | kr 3,736 | kr 2,964 |
Net fee and commissions expen_3
Net fee and commissions expense (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Fee and commissions earned were related to: | |||
Lending | kr 1 | kr 1 | kr 5 |
Total fee and commissions earned | 1 | 1 | 5 |
Commissions incurred were related to: | |||
Depot and bank fees | (10) | (8) | (7) |
Brokerage | (4) | (5) | (4) |
Other commissions incurred | (29) | (21) | (26) |
Total fee and commission expenses | (43) | (34) | (37) |
Net fee and commissions expense | (42) | (33) | kr (32) |
Commissions income (expense) on financial assets and liabilities not measured at fair value through profit or loss | kr (37) | kr (28) |
Net results of financial tran_3
Net results of financial transactions (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net results of financial transactions | |||
Currency exchange-rate effects on all assets and liabilities excl. currency exchange-rate effects related to revaluation at fair value | kr 5 | kr 2 | kr (3) |
Total net results of financial -transactions | 83 | 226 | 19 |
Hedging instrument | |||
Net results of financial transactions | |||
Financial instruments under fair-value hedge accounting | 1,277 | 2,846 | (192) |
Hedged item | |||
Net results of financial transactions | |||
Financial instruments under fair-value hedge accounting | (1,191) | (2,761) | 235 |
Designated upon initial recognition (FVO) | |||
Net results of financial transactions | |||
Financial assets or liabilities at fair value through profit or loss | (488) | (5,590) | 7,315 |
Mandatorily measured at fair value | |||
Net results of financial transactions | |||
Financial assets or liabilities at fair value through profit or loss | 466 | 5,710 | (7,360) |
Financial assets at amortized cost | |||
Net results of financial transactions | |||
Derecognition of financial instruments not measured at fair value through profit or loss | kr 14 | kr 19 | kr 24 |
Personnel expenses (Details)
Personnel expenses (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expenses | |||
Pensions | kr (64) | kr (60) | kr (52) |
Social insurance | (68) | (63) | (59) |
Other personnel expenses | (15) | (19) | (14) |
Total personnel expenses | (347) | (333) | (311) |
Board of Directors and the Chief Executive Officer | |||
Personnel expenses | |||
Salaries and remuneration | (7) | (7) | (7) |
Senior Executives | |||
Personnel expenses | |||
Salaries and remuneration | (25) | (23) | (21) |
Pensionable remuneration | 25 | 23 | |
Other employees | |||
Personnel expenses | |||
Salaries and remuneration | (168) | (161) | kr (158) |
Catrin Fransson, Chief Executive Officer (CEO) | |||
Personnel expenses | |||
Pensionable remuneration | kr 5 | kr 5 |
Personnel expenses - Remunerati
Personnel expenses - Remuneration and other benefits (Details) - SEK (kr) kr in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Lars Linder Aronson | |||
Personnel expenses | |||
Fee, includes committee fee | kr (588) | kr (603) | kr (612) |
Total | (588) | (603) | (612) |
Cecilia Ardstrom | |||
Personnel expenses | |||
Fee, includes committee fee | (322) | (308) | (287) |
Total | (322) | (308) | (287) |
Reinhold Geijer | |||
Personnel expenses | |||
Fee, includes committee fee | (288) | (275) | (269) |
Total | (288) | (275) | (269) |
Hans Larsson | |||
Personnel expenses | |||
Fee, includes committee fee | (302) | (249) | (250) |
Total | (302) | (249) | (250) |
Eva Nilsagard, from April 24, 2018 | |||
Personnel expenses | |||
Fee, includes committee fee | (297) | (277) | (182) |
Total | (297) | (277) | (182) |
Susanne Lithander, resigned April 24, 2018 | |||
Personnel expenses | |||
Fee, includes committee fee | (74) | ||
Total | (74) | ||
Ulla Nilsson | |||
Personnel expenses | |||
Fee, includes committee fee | (322) | (298) | (287) |
Total | (322) | (298) | (287) |
Catrin Fransson, Chief Executive Officer (CEO) | |||
Personnel expenses | |||
Fixed remuneration | (5,234) | (5,015) | (4,743) |
Other benefits | (33) | (25) | (88) |
Pension fee | (1,536) | (1,462) | (1,418) |
Total | kr (6,803) | kr (6,502) | kr (6,249) |
Retirement age | 65 years | 65 years | 65 years |
Pension fee on fixed salary (in percent) | 30.00% | 30.00% | 30.00% |
Per Akerlind, Deputy Chief Executive Officer and Head of Partnerships and Relations | |||
Personnel expenses | |||
Fixed remuneration | kr (3,527) | kr (3,509) | kr (3,339) |
Other benefits | (31) | (30) | (85) |
Pension fee | (1,257) | (1,123) | (1,307) |
Total | (4,815) | (4,662) | (4,731) |
Karl Johan Bernerfalk, General Counsel, Head of Legal | |||
Personnel expenses | |||
Fixed remuneration | (1,576) | (1,507) | (1,414) |
Other benefits | (31) | (23) | (33) |
Pension fee | (552) | (529) | (505) |
Total | (2,159) | (2,059) | (1,952) |
Andreas Ericson, Head of Mid Corporates, from October 15, 2018 | |||
Personnel expenses | |||
Fixed remuneration | (2,024) | (1,978) | (410) |
Other benefits | (32) | (28) | (6) |
Pension fee | (631) | (607) | (146) |
Total | (2,687) | (2,613) | (562) |
Stefan Friberg, Chief Financial Officer (CFO), formerly Chief Risk Officer (CRO) | |||
Personnel expenses | |||
Fixed remuneration | (2,964) | (2,922) | (2,930) |
Other benefits | (18) | (27) | (25) |
Pension fee | (515) | (500) | (483) |
Total | (3,497) | (3,449) | (3,438) |
Teresa Hamilton Burman, Chief Credit Officer (CCO) | |||
Personnel expenses | |||
Fixed remuneration | (2,389) | (2,353) | (2,326) |
Other benefits | (18) | (18) | (16) |
Pension fee | (524) | (508) | (493) |
Total | (2,931) | (2,879) | (2,835) |
Jens Hedar, Head of Large Corporates, from October 15, 2018 | |||
Personnel expenses | |||
Fixed remuneration | (2,316) | (2,224) | (461) |
Other benefits | (18) | (15) | (5) |
Pension fee | (635) | (649) | (157) |
Total | (2,969) | (2,888) | (623) |
Johan Henningsson, Head of Sustainability | |||
Personnel expenses | |||
Fixed remuneration | (1,261) | ||
Other benefits | (27) | ||
Pension fee | (466) | ||
Total | (1,754) | ||
Petra Konberg, Head of Marketing and Communications, from April 18, 2017 | |||
Personnel expenses | |||
Fixed remuneration | (1,286) | (1,236) | (1,143) |
Other benefits | (34) | (33) | (28) |
Pension fee | (428) | (407) | (384) |
Total | (1,748) | (1,676) | (1,555) |
Irina Slinko, acting Chief Risk Officer (CRO), resigned August 20, 2019 | |||
Personnel expenses | |||
Fixed remuneration | (1,159) | ||
Other benefits | (12) | ||
Pension fee | (365) | ||
Total | (1,536) | ||
Anna-Lena Sderlund, acting Chief Risk Officer (CRO), from August 21, 2019, resigned October 27, 2019 | |||
Personnel expenses | |||
Fixed remuneration | (278) | ||
Other benefits | (6) | ||
Pension fee | (115) | ||
Total | (399) | ||
Peter Svensen, Chief Risk Officer (CRO), from October 28, 2019 | |||
Personnel expenses | |||
Fixed remuneration | (2,597) | (471) | |
Other benefits | (26) | (3) | |
Pension fee | (569) | (80) | |
Total | (3,192) | (554) | |
Jane Lundgren Ericsson, Head of Lending, resigned October 12, 2018 | |||
Personnel expenses | |||
Fixed remuneration | (1,943) | ||
Other benefits | (75) | ||
Pension fee | (610) | ||
Total | (2,628) | ||
Ingela Nachweij, acting Chief Information Officer (CIO), resigned January 31, 2018 | |||
Personnel expenses | |||
Fixed remuneration | (128) | ||
Other benefits | (2) | ||
Pension fee | (36) | ||
Total | (166) | ||
Sirpa Rusanen, Chief Human Resources (CHRO) | |||
Personnel expenses | |||
Fixed remuneration | (1,719) | (1,644) | (1,471) |
Other benefits | (22) | (42) | (106) |
Pension fee | (675) | (623) | (556) |
Total | (2,416) | (2,309) | (2,133) |
Susanna Rystedt, Head of Business Development, Business Support and Transformation | |||
Personnel expenses | |||
Fixed remuneration | (2,501) | (2,484) | (2,255) |
Other benefits | (16) | (40) | (108) |
Pension fee | (788) | (759) | (733) |
Total | (3,305) | (3,283) | (3,096) |
Madeleine Widaeus, Chief Information Officer (CIO) | |||
Personnel expenses | |||
Fixed remuneration | (1,671) | (1,574) | (1,360) |
Other benefits | (16) | (16) | (11) |
Pension fee | (493) | (463) | (405) |
Total | (2,180) | (2,053) | (1,776) |
Board of Directors and Senior Executives | |||
Personnel expenses | |||
Fee, includes committee fee | (2,119) | (2,010) | (1,961) |
Fixed remuneration | (29,804) | (28,354) | (25,184) |
Other benefits | (295) | (318) | (615) |
Pension fee | (8,603) | (8,190) | (7,699) |
Total | kr (40,821) | kr (38,872) | kr (35,459) |
Personnel expenses - Total expe
Personnel expenses - Total expenditure on remuneration (Details) kr in Thousands | 12 Months Ended | ||
Dec. 31, 2020SEK (kr)Yemployeeitem | Dec. 31, 2019SEK (kr) | Dec. 31, 2018SEK (kr) | |
Personnel Expenses | |||
Number of systems for variable remuneration | item | 1 | ||
Number of levels of testing individual variable remuneration | item | 3 | ||
Number of months salary maximum at Company level | item | 2 | ||
Number of months salary maximum outcome for individual variable remuneration based on department's quantitative targets | item | 2 | ||
Individual variable remuneration test out come lower limit | 0 | ||
Individual variable remuneration test out come department level upper limit | 1.5 | ||
Number of months salary maximum outcome for individual variable remuneration | item | 3 | ||
Disbursement percentage under employee incentive scheme year one | 40.00% | ||
Disbursement percentage under employee incentive scheme subsequent years | 20.00% | ||
Disbursement under employee incentive scheme number of subsequent years | Y | 3 | ||
Number of employees that receive remuneration greater than one million Euro per fiscal year | employee | 0 | ||
Executive management | |||
Personnel Expenses | |||
Total amount expensed for remuneration | kr (38,632) | kr (34,780) | kr (33,617) |
of which fixed remuneration | kr (38,632) | kr (34,780) | kr (33,617) |
number of beneficiaries | 12 | 12 | 12 |
Outstanding unvested deferred remuneration | kr (90) | kr (90) | kr (207) |
Deferred remuneration paid out | (69) | (69) | (239) |
Other members of staff whose actions have a material impact on the risk profile of the institution | |||
Personnel Expenses | |||
Total amount expensed for remuneration | (87,252) | (88,565) | (111,896) |
of which fixed remuneration | (81,244) | (81,730) | kr (111,896) |
of which variable remuneration in cash | kr (6,008) | kr (6,835) | |
number of beneficiaries | 67 | 74 | 114 |
Outstanding unvested deferred remuneration | kr (8,164) | kr (4,727) | kr (1,884) |
Deferred remuneration awarded | (3,605) | (4,101) | |
Deferred remuneration paid out | (2,535) | (569) | (2,910) |
Severance payments made | kr (1,319) | ||
number of beneficiaries | 1 | ||
Severance payments awarded | (1,319) | ||
Catrin Fransson, Chief Executive Officer (CEO) | |||
Personnel Expenses | |||
of which fixed remuneration | kr (5,234) | kr (5,015) | kr (4,743) |
Notice period | 6 months | ||
Severance pay period limit | 18 months | ||
Retirement age | 65 years | 65 years | 65 years |
Pension fee percentage on fixed salary | 30.00% | 30.00% | 30.00% |
Per Akerlind, Deputy Chief Executive Officer and Head of Partnerships and Relations | |||
Personnel Expenses | |||
of which fixed remuneration | kr (3,527) | kr (3,509) | kr (3,339) |
Notice period | 6 months | ||
Severance pay period limit | 18 months | ||
Senior Executives | |||
Personnel Expenses | |||
Retirement age | 65 years | ||
Pension fee percentage on fixed salary | 30.00% | ||
Senior Executives | Minimum | |||
Personnel Expenses | |||
Notice period | 3 months | ||
Senior Executives | Maximum | |||
Personnel Expenses | |||
Notice period | 6 months |
Personnel expenses - Pension (D
Personnel expenses - Pension (Details) - SEK (kr) kr in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of net defined benefit liability (asset) | ||||
Service cost | kr (5) | kr (6) | kr (4) | |
Regulation of pension obligations | 0 | 0 | 5 | |
Interest cost, net | (1) | (2) | (1) | |
Pension cost for defined benefit pensions, incl. payroll tax | (6) | (8) | 0 | |
Pension cost for defined contribution pension cost incl. payroll tax | (58) | (52) | (52) | |
Pension cost recognized in personnel costs | (64) | (60) | (52) | |
Revaluation of defined benefit plans | 1 | (4) | (48) | |
Provision for pensions | 82 | 83 | 80 | kr 40 |
Present value of defined benefit obligation | ||||
Disclosure of net defined benefit liability (asset) | ||||
Revaluation of defined benefit plans | (2) | (16) | (48) | |
Provision for pensions | 277 | 272 | 253 | 263 |
Plan assets | ||||
Disclosure of net defined benefit liability (asset) | ||||
Revaluation of defined benefit plans | 3 | 12 | 0 | |
Provision for pensions | kr (195) | kr (189) | kr (173) | kr (223) |
Personnel expenses - Defined be
Personnel expenses - Defined benefit pension (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of net defined benefit liability (asset) | |||
Balance at beginning of the period | kr 83 | kr 80 | kr 40 |
Contributions by the employer | (7) | (7) | (7) |
Pension Payments incl. special payroll tax / Benefits paid | (1) | (1) | (1) |
Balance at end of the period | 82 | 83 | 80 |
Present value of defined benefit obligation | |||
Disclosure of net defined benefit liability (asset) | |||
Balance at beginning of the period | 272 | 253 | 263 |
Service cost | 6 | 6 | 4 |
Interest cost / Expected return on plan assets | 5 | 5 | 6 |
Pension Payments incl. special payroll tax / Benefits paid | (9) | (8) | (9) |
Actuarial (gains) and losses, effect due to changed demographic assumptions | (59) | ||
Actuarial (gains) and losses, effect due to changed financial assumptions | 12 | 25 | 46 |
Actuarial (gains) and losses, effect due to experience based outcome | (9) | (9) | 2 |
Balance at end of the period | 277 | 272 | 253 |
Plan assets | |||
Disclosure of net defined benefit liability (asset) | |||
Balance at beginning of the period | (189) | (173) | (223) |
Interest cost / Expected return on plan assets | (3) | (4) | (5) |
Contributions by the employer | (7) | (7) | (7) |
Pension Payments incl. special payroll tax / Benefits paid | 8 | 7 | 8 |
Other | 54 | ||
Return on plan assets excluding interest income | (4) | (12) | 0 |
Balance at end of the period | (195) | (189) | kr (173) |
Expected contribution from the employer | 5 | 6 | |
Expected compensation paid | kr 7 | kr 9 |
Personnel expenses - Plan asset
Personnel expenses - Plan assets (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of net defined benefit liability (asset) | |||
Other Investments | kr 33 | kr 25 | kr 19 |
Properties | 23 | 23 | 21 |
Plan assets | 195 | 189 | 173 |
Mortgage bonds | |||
Disclosure of net defined benefit liability (asset) | |||
Debt instruments | 53 | 49 | 49 |
Sweden | |||
Disclosure of net defined benefit liability (asset) | |||
Equity investments | 4 | 4 | 3 |
Sweden | Government bonds | |||
Disclosure of net defined benefit liability (asset) | |||
Debt instruments | 41 | 49 | 43 |
Sweden | Loans to the public | |||
Disclosure of net defined benefit liability (asset) | |||
Debt instruments | 18 | 22 | 26 |
Foreign countries | |||
Disclosure of net defined benefit liability (asset) | |||
Equity investments | kr 23 | kr 17 | kr 12 |
Personnel expenses - Actuarial
Personnel expenses - Actuarial assumptions (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Discount rate | 1.25% | 1.70% | 2.10% |
Assumption of early pension withdrawal | 20.00% | 20.00% | 20.00% |
Expected salary increase | 2.00% | 2.00% | 2.00% |
Expected inflation | 1.80% | 2.00% | 2.00% |
Expected lifetime | DUS14 | DUS14 | DUS14 |
Expected turnover | 5.00% | 5.00% | 5.00% |
Personnel expenses - Sensitivit
Personnel expenses - Sensitivity analysis of essential assumptions (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Discount rate | |||
Disclosure of sensitivity analysis for actuarial assumptions | |||
Increase in actuarial assumption (as a percent) | 1.00% | 1.00% | 1.00% |
Decrease in actuarial assumption (as a percent) | 1.00% | 1.00% | 1.00% |
Defined benefit obligation after reasonable increase in actuarial assumption | kr 218 | kr 215 | kr 202 |
Defined benefit obligation after reasonable decrease in actuarial assumption | 358 | 351 | 324 |
Service cost after reasonable increase in actuarial assumption | 5 | 5 | 4 |
Service cost after reasonable decrease in actuarial assumption | 9 | 8 | 8 |
Interest cost on defined benefit obligation after reasonable increase in actuarial assumption | 5 | 6 | 6 |
Interest cost on defined benefit obligation after reasonable decrease in actuarial assumption | kr 1 | kr 2 | kr 4 |
Expected lifetime | |||
Disclosure of sensitivity analysis for actuarial assumptions | |||
Increase in actuarial assumption (in years) | 1 year | 1 year | 1 year |
Decrease in actuarial assumption (in years) | 1 year | 1 year | 1 year |
Defined benefit obligation after reasonable increase in actuarial assumption | kr 291 | kr 286 | kr 266 |
Defined benefit obligation after reasonable decrease in actuarial assumption | 264 | 260 | 242 |
Service cost after reasonable increase in actuarial assumption | 7 | 6 | 6 |
Service cost after reasonable decrease in actuarial assumption | 7 | 6 | 5 |
Interest cost on defined benefit obligation after reasonable increase in actuarial assumption | 4 | 5 | 6 |
Interest cost on defined benefit obligation after reasonable decrease in actuarial assumption | kr 3 | kr 4 | kr 5 |
Personnel expenses - Reconcilia
Personnel expenses - Reconciliation of pension liabilities (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Balance at beginning of the period | kr 83 | kr 80 | kr 40 |
Net periodic pension cost | 8 | 7 | 0 |
Contributions by the employer | (7) | (7) | (7) |
Net pension payments | (1) | (1) | (1) |
Revaluations recognized in other comprehensive income | (1) | 4 | 48 |
Balance at end of the period | kr 82 | kr 83 | kr 80 |
Personnel expenses - Pensions (
Personnel expenses - Pensions (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Pension expense | kr 6 | kr 8 | kr 0 |
Expected weighted average remaining service time for active employees | 13 years 4 months 17 days | 14 years 10 months 21 days | |
Expected weighted average duration for the present value | 20 years 2 months 9 days | 19 years 2 months 23 days | |
Average salary for active employees | kr 0.9 | kr 0.9 | |
Percentage of employees early retirement | 20.00% | ||
Retirement age for employees born on or before 1956 | 61 years | ||
Retirement age for employees born on or after 1967 | 65 years |
Personnel expenses - Average nu
Personnel expenses - Average number of employees (Details) - employee | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Average number employees, women | 123 | 120 | 117 |
Average number employees, men | 125 | 121 | 126 |
Total average number of employees | 248 | 241 | 243 |
Personnel expenses - Number of
Personnel expenses - Number of employees at year-end (Details) | 12 Months Ended | ||
Dec. 31, 2020employeeitem | Dec. 31, 2019employeeitem | Dec. 31, 2018employee | |
Personnel expense | |||
Number of women employees | 125 | 123 | 118 |
Number of men employees | 128 | 121 | 120 |
Number of employees | 253 | 244 | 238 |
Number of full time employees | 247 | 236 | 230 |
Percentage of allocation of women in full-time employees | 49.00% | 50.00% | 49.00% |
Percentage of allocation of men in full-time employees | 51.00% | 50.00% | 51.00% |
Number of part time employees | 6 | 8 | 8 |
Percentage of allocation of women in part-time employees | 83.00% | 75.00% | 75.00% |
Percentage of allocation of men in part-time employees | 17.00% | 25.00% | 25.00% |
Number of permanent employees | 253 | 243 | 236 |
Percentage of allocation of women in permanent employees | 49.00% | 51.00% | 50.00% |
Percentage of allocation of men in permanent employees | 51.00% | 49.00% | 50.00% |
Number of temporary employees | 0 | 1 | 2 |
Percentage of allocation of women in temporary employees | 0.00% | 0.00% | 50.00% |
Percentage of allocation of men in temporary employees | 0.00% | 100.00% | 50.00% |
Number of managers | 31 | 31 | 29 |
Number of non-management employees | 222 | 213 | 209 |
Number of consultants | item | 75 | 66 |
Personnel expenses - Employees
Personnel expenses - Employees by age distribution (Details) - employee | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Personnel expense | |||
Number of employees | 253 | 244 | 238 |
Number of employees under the age of 30 years | 13 | 12 | 13 |
Number of employees between 30 and 50 years | 122 | 127 | 127 |
Number of employees over 50 years | 118 | 105 | 98 |
Personnel expenses - Employee t
Personnel expenses - Employee turnover (Details) - employee | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Number of employees who left employment | 16 | 30 | 32 |
Number of women employees who left employment | 8 | 16 | 12 |
Number of men employees who left employment | 8 | 14 | 20 |
Number of employees who left employment under the age of 30 years | 0 | 2 | 3 |
Number of employees who left employment between 30 and 50 years | 12 | 22 | 20 |
Number of employees who left employment over 50 years | 4 | 6 | 9 |
Personnel expenses - Employee_2
Personnel expenses - Employees by health percentage (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Percentage of employees absence due to sickness | 2.10% | 2.50% | 3.10% |
Personnel expenses - Employee e
Personnel expenses - Employee equality and diversity (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Personnel expense | |||
Percentage of allocation of women on the Board of Directors | 62.00% | 62.00% | 62.00% |
Percentage of allocation of men on the Board of Directors | 38.00% | 38.00% | 38.00% |
Percentage of allocation of women in executive management | 50.00% | 50.00% | 50.00% |
Percentage of allocation of men in executive management | 50.00% | 50.00% | 50.00% |
Percentage of allocation of women in management positions | 48.00% | 42.00% | 41.00% |
Percentage of allocation of men in management positions | 52.00% | 58.00% | 59.00% |
Percentage of allocation of women employees in total | 49.00% | 50.00% | 51.00% |
Percentage of allocation of men employees in total | 51.00% | 50.00% | 49.00% |
Other administrative expenses_2
Other administrative expenses (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other administrative expenses | |||
Travel expenses and marketing | kr (3) | kr (7) | kr (7) |
IT and information system (fees incl.) | (140) | (156) | (151) |
Other fees | (38) | (34) | (34) |
Premises | (10) | (3) | (33) |
Other | (7) | (6) | (6) |
Total other administrative expenses | kr (198) | kr (206) | kr (231) |
Other administrative expenses -
Other administrative expenses - Remuneration to auditors (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Auditor's remuneration details | |||
Audit fees | kr (9) | kr (10) | kr (8) |
Audit related fees | 0 | 0 | |
Tax related fees | 0 | 0 | |
Other fees | (3) | (2) | (2) |
Total | kr (12) | kr (12) | kr (10) |
Tangible and intangible asset_2
Tangible and intangible assets (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Tangible and intangible assets | |||
Tangible assets | kr 22 | kr 28 | kr 26 |
Right-of-use assets | 25 | 50 | |
Intangible assets | 98 | 56 | 43 |
Total net book value | 145 | 134 | 69 |
Depreciation and impairment during the year according to the Consolidated Statement of Comprehensive Income | kr (51) | kr (57) | kr (40) |
Average useful life for intangible assets | 5 years |
Leasing - Right of use asset (D
Leasing - Right of use asset (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leasing | ||
Potential future cash flows related to lease extension options | kr 77 | kr 78 |
Period of lease extension options | 3 years | |
Right-of-use asset, opening balance | kr 50 | |
Depreciation | (27) | (32) |
Addition | 2 | |
Deduction | (12) | |
Right-of-use asset, closing balance | kr 25 | 50 |
Decrease in right-of-use assets through change in estimation | 13 | |
Decrease in lease liability through change in estimation | 13 | |
After application of IFRS 16 | ||
Leasing | ||
Right-of-use asset, opening balance | kr 94 |
Leasing - Accounted for in prof
Leasing - Accounted for in profit or loss (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leasing | ||
Depreciation charge on right-of-use assets | kr (27) | kr (32) |
Interest expenses on lease liability | 0 | 0 |
Expenses relating to short-term leases | 0 | 0 |
Expenses relating to low-value leases | (1) | (1) |
Variable lease fees | (6) | (1) |
Total amount accounted for in profit or loss | kr (34) | kr (34) |
Leasing - Lease liability (Deta
Leasing - Lease liability (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Lease liabilities | ||
Lease liabilities, opening balance | kr 44 | |
Interest expense accrued | 0 | kr 0 |
Payments of lease liability | (27) | (39) |
Additions | (2) | |
Deduction | (12) | |
Lease liabilities, closing balance | kr 19 | 44 |
Decrease in right-of-use assets through change in estimation | 13 | |
Decrease in lease liability through change in estimation | 13 | |
After application of IFRS 16 | ||
Lease liabilities | ||
Lease liabilities, opening balance | kr 95 |
Leasing - Contractual flows of
Leasing - Contractual flows of lease liability and costs (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Leases | |||
Discounting effect | kr 0 | kr 0 | |
Lease liabilities | 19 | 44 | |
Cash outflow | 34 | 41 | |
Cost of operating leases | kr (32) | ||
Future minimum rentals payable under non-cancellable operating leases | (92) | ||
Within 1 year | |||
Leases | |||
Undiscounted lease payments | 18 | 26 | |
Future minimum rentals payable under non-cancellable operating leases | (32) | ||
Between 1 and 5 years | |||
Leases | |||
Undiscounted lease payments | kr 1 | kr 18 | |
Future minimum rentals payable under non-cancellable operating leases | kr (60) |
Leasing - Future lease payments
Leasing - Future lease payments receivable (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Leasing | |||
Gross investment | kr 212 | kr 150 | kr 307 |
Present value of minimum lease payments | 194 | 139 | 274 |
Unearned finance income | 17 | 14 | 33 |
Within 1 year | |||
Leasing | |||
Gross investment | 102 | 63 | 117 |
Present value of minimum lease payments | 99 | 61 | 113 |
Between 1 and 5 years | |||
Leasing | |||
Gross investment | 91 | 87 | 182 |
Present value of minimum lease payments | 81 | kr 78 | 156 |
More than 5 years | |||
Leasing | |||
Gross investment | 19 | 8 | |
Present value of minimum lease payments | kr 14 | kr 5 |
Impairments (Details)
Impairments (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of changes in allowance account for credit losses of financial assets | |||
Established credit losses | kr (20) | kr (25) | |
Reserves applied to cover established credit losses | 20 | 40 | |
Recovered credit losses | kr 0 | ||
Net credit losses | (153) | (10) | 7 |
12-month expected credit losses | |||
Reconciliation of changes in allowance account for credit losses of financial assets | |||
Net credit losses | (98) | (19) | 6 |
Lifetime expected credit losses | Financial instruments not credit-impaired | |||
Reconciliation of changes in allowance account for credit losses of financial assets | |||
Net credit losses | (48) | 11 | 14 |
Lifetime expected credit losses | Financial instruments credit-impaired | |||
Reconciliation of changes in allowance account for credit losses of financial assets | |||
Net credit losses | kr (7) | kr (17) | kr (13) |
Impairments - Loss Allowance (D
Impairments - Loss Allowance (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Loans and off balance | |||
Provision ratio | 0.08% | 0.05% | |
12-month expected credit losses | |||
Loans and off balance | |||
Provision ratio | 0.06% | 0.03% | |
Lifetime expected credit losses | Financial instruments not credit-impaired | |||
Loans and off balance | |||
Provision ratio | 0.08% | 0.02% | |
Lifetime expected credit losses | Financial instruments credit-impaired | |||
Loans and off balance | |||
Provision ratio | 3.10% | 4.82% | |
Gross carrying amount | |||
Loans and off balance | |||
Loans and off balance | kr 294,431 | kr 277,061 | kr 264,686 |
Of which guaranteed | 63.20% | 62.20% | |
Gross carrying amount | Loans | |||
Loans and off balance | |||
Loans and off balance | kr 231,927 | kr 217,718 | |
Gross carrying amount | Loans in the form of interest-bearing securities | |||
Loans and off balance | |||
Loans and off balance | 50,814 | 43,644 | |
Gross carrying amount | Loans to credit institutions | |||
Loans and off balance | |||
Loans and off balance | 9,343 | 10,119 | |
Gross carrying amount | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | 171,770 | 163,955 | |
Gross carrying amount | Guarantees | |||
Loans and off balance | |||
Loans and off balance | 3,969 | 4,393 | |
Gross carrying amount | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | 58,535 | 54,950 | |
Gross carrying amount | 12-month expected credit losses | |||
Loans and off balance | |||
Loans and off balance | kr 226,464 | kr 214,115 | 202,583 |
Of which guaranteed | 59.50% | 56.40% | |
Gross carrying amount | 12-month expected credit losses | Loans | |||
Loans and off balance | |||
Loans and off balance | kr 198,108 | kr 182,800 | |
Gross carrying amount | 12-month expected credit losses | Loans in the form of interest-bearing securities | |||
Loans and off balance | |||
Loans and off balance | 47,095 | 40,909 | |
Gross carrying amount | 12-month expected credit losses | Loans to credit institutions | |||
Loans and off balance | |||
Loans and off balance | 8,834 | 9,578 | |
Gross carrying amount | 12-month expected credit losses | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | 142,179 | 132,313 | |
Gross carrying amount | 12-month expected credit losses | Guarantees | |||
Loans and off balance | |||
Loans and off balance | 2,463 | 3,232 | |
Gross carrying amount | 12-month expected credit losses | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | 25,893 | 28,083 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | |||
Loans and off balance | |||
Loans and off balance | kr 66,485 | kr 61,619 | 60,678 |
Of which guaranteed | 84.60% | 92.10% | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | |||
Loans and off balance | |||
Loans and off balance | kr 32,337 | kr 33,602 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans in the form of interest-bearing securities | |||
Loans and off balance | |||
Loans and off balance | 3,719 | 2,735 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans to credit institutions | |||
Loans and off balance | |||
Loans and off balance | 509 | 541 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | 28,109 | 30,326 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Guarantees | |||
Loans and off balance | |||
Loans and off balance | 1,506 | 1,161 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | 32,642 | 26,856 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | |||
Loans and off balance | |||
Loans and off balance | kr 1,482 | kr 1,327 | 1,425 |
Of which guaranteed | 97.60% | 95.40% | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | Loans | |||
Loans and off balance | |||
Loans and off balance | kr 1,482 | kr 1,316 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | 1,482 | 1,316 | |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | 11 | ||
Accumulated impairment | |||
Loans and off balance | |||
Loans and off balance | (249) | (128) | (139) |
Accumulated impairment | Loans | |||
Loans and off balance | |||
Loans and off balance | (240) | (124) | |
Accumulated impairment | Loans in the form of interest-bearing securities | |||
Loans and off balance | |||
Loans and off balance | (33) | (16) | |
Accumulated impairment | Loans to credit institutions | |||
Loans and off balance | |||
Loans and off balance | (6) | (1) | |
Accumulated impairment | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | (201) | (107) | |
Accumulated impairment | Guarantees | |||
Loans and off balance | |||
Loans and off balance | 0 | ||
Accumulated impairment | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | (9) | (4) | |
Accumulated impairment | 12-month expected credit losses | |||
Loans and off balance | |||
Loans and off balance | (147) | (54) | (34) |
Accumulated impairment | 12-month expected credit losses | Loans | |||
Loans and off balance | |||
Loans and off balance | (139) | (51) | |
Accumulated impairment | 12-month expected credit losses | Loans in the form of interest-bearing securities | |||
Loans and off balance | |||
Loans and off balance | (20) | (14) | |
Accumulated impairment | 12-month expected credit losses | Loans to credit institutions | |||
Loans and off balance | |||
Loans and off balance | (6) | (1) | |
Accumulated impairment | 12-month expected credit losses | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | (113) | (36) | |
Accumulated impairment | 12-month expected credit losses | Guarantees | |||
Loans and off balance | |||
Loans and off balance | 0 | 0 | |
Accumulated impairment | 12-month expected credit losses | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | (8) | (3) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | |||
Loans and off balance | |||
Loans and off balance | (56) | (10) | (21) |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | |||
Loans and off balance | |||
Loans and off balance | (55) | (9) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans in the form of interest-bearing securities | |||
Loans and off balance | |||
Loans and off balance | (13) | (2) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans to credit institutions | |||
Loans and off balance | |||
Loans and off balance | 0 | 0 | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | (42) | (7) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | Guarantees | |||
Loans and off balance | |||
Loans and off balance | 0 | 0 | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | Committed undisbursed loans | |||
Loans and off balance | |||
Loans and off balance | (1) | (1) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments credit-impaired | |||
Loans and off balance | |||
Loans and off balance | (46) | (64) | kr (84) |
Accumulated impairment | Lifetime expected credit losses | Financial instruments credit-impaired | Loans | |||
Loans and off balance | |||
Loans and off balance | (46) | (64) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments credit-impaired | Loans to the public | |||
Loans and off balance | |||
Loans and off balance | kr (46) | (64) | |
Accumulated impairment | Lifetime expected credit losses | Financial instruments credit-impaired | Guarantees | |||
Loans and off balance | |||
Loans and off balance | kr 0 |
Impairments - Reconciliations (
Impairments - Reconciliations (Details) kr in Millions | 12 Months Ended | |
Dec. 31, 2020SEK (kr)item | Dec. 31, 2019SEK (kr) | |
Changes in loss allowance | ||
Number of scenarios prepared for each PD curve | item | 3 | |
Minimum | ||
Changes in loss allowance | ||
Weight of base scenario | 72.00% | |
Weight of downturn scenario | 11.00% | |
Weight of upturn scenario | 11.00% | |
Maximum | ||
Changes in loss allowance | ||
Weight of base scenario | 78.00% | |
Weight of downturn scenario | 14.00% | |
Weight of upturn scenario | 14.00% | |
Gross carrying amount | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | kr 277,061 | kr 264,686 |
Increase due to origination and acquisition | 160,800 | 79,558 |
Transfer to stage 1 | (189) | (3) |
Transfer to stage 2 | (1,128) | (471) |
Transfer to stage 3 | (8) | (10) |
Decrease due to derecognition | (142,105) | (66,699) |
Loans and off balance at end of period | 294,431 | 277,061 |
Gross carrying amount | 12-month expected credit losses | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | 214,115 | 202,583 |
Increase due to origination and acquisition | 134,041 | 73,812 |
Transfer to stage 1 | 683 | 13 |
Transfer to stage 2 | (8,391) | (6,752) |
Transfer to stage 3 | (97) | |
Decrease due to derecognition | (113,984) | (55,444) |
Loans and off balance at end of period | 226,464 | 214,115 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | 61,619 | 60,678 |
Increase due to origination and acquisition | 25,944 | 5,633 |
Transfer to stage 1 | (872) | (16) |
Transfer to stage 2 | 7,422 | 6,281 |
Transfer to stage 3 | (42) | (199) |
Decrease due to derecognition | (27,586) | (10,758) |
Loans and off balance at end of period | 66,485 | 61,619 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | 1,327 | 1,425 |
Increase due to origination and acquisition | 815 | 113 |
Transfer to stage 2 | (159) | |
Transfer to stage 3 | 34 | 286 |
Decrease due to derecognition | (535) | (497) |
Loans and off balance at end of period | 1,482 | 1,327 |
Accumulated impairment | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | (128) | (139) |
Increase due to origination and acquisition | (84) | (23) |
Net remeasurement of loss allowance | (69) | 10 |
Transfer to stage 1 | 0 | |
Transfer to stage 2 | 0 | |
Transfer to stage 3 | (9) | (22) |
Decrease due to derecognition | 8 | 10 |
Decrease in allowance account due to write-offs | 20 | 40 |
Exchange-rate differences | 13 | (4) |
Loans and off balance at end of period | (249) | (128) |
Accumulated impairment | 12-month expected credit losses | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | (54) | (34) |
Increase due to origination and acquisition | (84) | (22) |
Net remeasurement of loss allowance | (23) | (4) |
Transfer to stage 1 | 0 | 0 |
Transfer to stage 2 | 1 | 0 |
Transfer to stage 3 | 0 | |
Decrease due to derecognition | 8 | 6 |
Exchange-rate differences | 5 | 0 |
Loans and off balance at end of period | (147) | (54) |
Accumulated impairment | Lifetime expected credit losses | Financial instruments not credit-impaired | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | (10) | (21) |
Increase due to origination and acquisition | 0 | (1) |
Net remeasurement of loss allowance | (48) | 7 |
Transfer to stage 1 | 0 | 0 |
Transfer to stage 2 | (1) | 0 |
Transfer to stage 3 | 1 | 2 |
Decrease due to derecognition | 0 | 4 |
Exchange-rate differences | 2 | (1) |
Loans and off balance at end of period | (56) | (10) |
Accumulated impairment | Lifetime expected credit losses | Financial instruments credit-impaired | ||
Changes in loss allowance | ||
Loans and off balance at beginning of period | (64) | (84) |
Increase due to origination and acquisition | 0 | |
Net remeasurement of loss allowance | 2 | 7 |
Transfer to stage 2 | 0 | |
Transfer to stage 3 | (10) | (24) |
Decrease due to derecognition | 0 | |
Decrease in allowance account due to write-offs | 20 | 40 |
Exchange-rate differences | 6 | (3) |
Loans and off balance at end of period | kr (46) | kr (64) |
Impairments - Loan credit quali
Impairments - Loan credit quality (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of credit risk exposure | ||
Financial assets. | kr 320,399 | kr 305,065 |
AAA | ||
Disclosure of credit risk exposure | ||
Financial assets. | 126,728 | 110,898 |
AA+ to A- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 94,229 | 107,653 |
BBB+ to BBB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 24,445 | 63,830 |
CCC to D | ||
Disclosure of credit risk exposure | ||
Financial assets. | 25 | |
Gross carrying amount | Loans | ||
Disclosure of credit risk exposure | ||
Financial assets. | 231,927 | 217,718 |
Gross carrying amount | Loans | AAA | ||
Disclosure of credit risk exposure | ||
Financial assets. | 37 | 546 |
Gross carrying amount | Loans | AA+ to A- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 29,261 | 31,421 |
Gross carrying amount | Loans | BBB+ to BBB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 131,234 | 117,187 |
Gross carrying amount | Loans | BB+ to BB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 55,482 | 43,759 |
Gross carrying amount | Loans | B+ to B- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 13,051 | 23,305 |
Gross carrying amount | Loans | CCC to D | ||
Disclosure of credit risk exposure | ||
Financial assets. | 2,862 | 1,500 |
Gross carrying amount | 12-month expected credit losses | Loans | ||
Disclosure of credit risk exposure | ||
Financial assets. | 198,108 | 182,800 |
Gross carrying amount | 12-month expected credit losses | Loans | AAA | ||
Disclosure of credit risk exposure | ||
Financial assets. | 37 | 546 |
Gross carrying amount | 12-month expected credit losses | Loans | AA+ to A- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 29,261 | 31,421 |
Gross carrying amount | 12-month expected credit losses | Loans | BBB+ to BBB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 130,068 | 116,040 |
Gross carrying amount | 12-month expected credit losses | Loans | BB+ to BB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 32,281 | 23,378 |
Gross carrying amount | 12-month expected credit losses | Loans | B+ to B- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 5,998 | 11,411 |
Gross carrying amount | 12-month expected credit losses | Loans | CCC to D | ||
Disclosure of credit risk exposure | ||
Financial assets. | 463 | 4 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | ||
Disclosure of credit risk exposure | ||
Financial assets. | 32,337 | 33,602 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | BBB+ to BBB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 1,166 | 1,147 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | BB+ to BB- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 23,201 | 20,381 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | B+ to B- | ||
Disclosure of credit risk exposure | ||
Financial assets. | 7,053 | 11,894 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments not credit-impaired | Loans | CCC to D | ||
Disclosure of credit risk exposure | ||
Financial assets. | 917 | 180 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | Loans | ||
Disclosure of credit risk exposure | ||
Financial assets. | 1,482 | 1,316 |
Gross carrying amount | Lifetime expected credit losses | Financial instruments credit-impaired | Loans | CCC to D | ||
Disclosure of credit risk exposure | ||
Financial assets. | kr 1,482 | kr 1,316 |
Taxes (Details)
Taxes (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Taxes | |||
Adjustment previous year | kr (4) | kr 2 | kr (1) |
Current tax | (266) | (570) | (448) |
Deferred tax | 0 | 291 | 245 |
Total income tax | (270) | (277) | (204) |
Income tax related to other comprehensive income | |||
Tax on items to be reclassified to profit or loss - Current tax | 2 | 6 | |
Tax on items not to be reclassified to profit or loss - Current tax | (1) | (5) | (82) |
Tax on items not to be reclassified to profit or loss - Deferred tax | (4) | 1 | 10 |
Income tax related to other comprehensive income | kr (5) | kr (2) | kr (66) |
Taxes - Reconciliation of effec
Taxes - Reconciliation of effective tax rate (Details) - SEK (kr) kr in Millions | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 |
Reconciliation of effective tax rate | |||||
The Swedish corporate tax rate (percent) | 20.60% | 21.40% | 21.40% | 22.00% | 21.40% |
Profit before taxes | kr 1,238 | kr 1,304 | kr 852 | ||
National tax based on profit before taxes | (265) | (279) | (187) | ||
Tax effects of: Non-taxable income | 0 | 9 | 0 | ||
Tax effects of: Non-deductible expenses | (1) | (16) | (14) | ||
Tax effects of: Imputed interest on tax allocation reserve | (1) | (2) | |||
Tax effect of dissolution of untaxed reserves due to changed tax rate | 8 | ||||
Tax effects of: Other | (4) | 2 | (1) | ||
Total income tax | kr (270) | kr (277) | kr (204) | ||
Effective tax expense (percent) | 21.80% | 21.20% | 24.00% |
Taxes -Deferred tax assets and
Taxes -Deferred tax assets and liabilities (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets and liabilities net | |||
Deferred tax assets | kr 15 | kr 16 | |
Net deferred tax liabilities (-) / tax assets (+) | 15 | 16 | kr (276) |
Deductible loss carry forwards | 0 | 0 | |
Pensions | |||
Deferred tax assets and liabilities net | |||
Deferred tax assets | kr 15 | kr 16 |
Taxes - Change in deferred tax
Taxes - Change in deferred tax (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Taxes | |||
Opening balance | kr 16 | kr (276) | |
Change through profit or loss | 0 | 291 | kr 245 |
Change in other comprehensive income | (1) | 1 | |
Closing balance | kr 15 | kr 16 | kr (276) |
Taxes - Deferred taxes (Details
Taxes - Deferred taxes (Details) | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 |
Taxes | |||||
The Swedish corporate tax rate (percent) | 20.60% | 21.40% | 21.40% | 22.00% | 21.40% |
Untaxed reserves allocated to equity | 78.00% | 78.00% | |||
Untaxed reserves allocated to deferred taxes | 22.00% | 22.00% |
Loans and liquidity investmen_3
Loans and liquidity investments (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | [1] | Dec. 31, 2017 | ||
Loans: | |||||||
Loans in the form of interest-bearing securities | kr 50,780 | kr 43,627 | |||||
Loans to credit institutions | 31,315 | 27,010 | |||||
Loans to the public | 171,562 | 163,848 | |||||
Cash collateral under the security agreements for derivative contracts | (21,979) | (16,891) | |||||
Total lending | 231,678 | 217,594 | |||||
Liquidity investments: | |||||||
Cash and cash equivalents | 3,362 | [1] | 1,362 | [1] | kr 2,416 | kr 1,231 | |
Treasuries/government bonds | 22,266 | 8,344 | |||||
Other interest-bearing securities except loans | 33,551 | 53,906 | |||||
Total liquidity investments | 59,179 | 63,612 | |||||
issued by public authorities | kr 25,262 | kr 13,452 | |||||
[1] | Cash and cash equivalents include, in this context, cash at banks that can be immediately converted into cash and short-term deposits for which the time to maturity does not exceed three months from trade date. See note 11. |
Loans and liquidity investmen_4
Loans and liquidity investments - Difference between book value and amount required to be paid at maturity (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Difference between book value and amount required to be paid at maturity | ||
Sum of amounts exceeding nominal | kr 148 | kr 350 |
Sum of amounts falling below nominal | kr (10) | kr (39) |
Loans and liquidity investmen_5
Loans and liquidity investments - Volume Development, Lending (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Volume Development, Lending | ||
Offers of long-term loans accepted | kr 125,470 | kr 74,515 |
Undisbursed loans at year end | 57,213 | 52,150 |
Loans outstanding at year-end | 231,678 | 217,594 |
Concessionary loans outstanding | 382 | 547 |
CIRR-System | ||
Volume Development, Lending | ||
Offers of long-term loans accepted | 18,350 | 15,500 |
Undisbursed loans at year end | 51,463 | 47,868 |
Loans outstanding at year-end | kr 69,163 | kr 76,120 |
Loans and liquidity investmen_6
Loans and liquidity investments - Outstanding loans as per business area (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Outstanding loans as per product type | ||
Total lending | kr 231,678 | kr 217,594 |
Concessionary loans outstanding | 382 | 547 |
CIRR-System | ||
Outstanding loans as per product type | ||
Total lending | 69,163 | 76,120 |
Lending to Swedish exporters | ||
Outstanding loans as per product type | ||
Total lending | 120,050 | 96,429 |
Lending to exporters' customers | ||
Outstanding loans as per product type | ||
Total lending | 111,628 | 121,165 |
Lending to exporters' customers | CIRR-System | ||
Outstanding loans as per product type | ||
Total lending | kr 69,163 | kr 76,120 |
Classification of financial a_3
Classification of financial assets and liabilities - Financial assets (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Financial assets at fair value through profit or loss | ||
Mandatorily | kr 60,065 | kr 66,630 |
Derivatives used for hedge accounting | 3,315 | 2,588 |
Amortized cost | 257,019 | 235,847 |
Total financial assets | 320,399 | 305,065 |
Cash and cash equivalents | ||
Financial assets at fair value through profit or loss | ||
Amortized cost | 3,362 | 1,362 |
Total financial assets | 3,362 | 1,362 |
Treasuries/government bonds | ||
Financial assets at fair value through profit or loss | ||
Mandatorily | 22,266 | 8,344 |
Total financial assets | 22,266 | 8,344 |
Other interest-bearing securities except loans | ||
Financial assets at fair value through profit or loss | ||
Mandatorily | 33,551 | 53,906 |
Total financial assets | 33,551 | 53,906 |
Loans in the form of interest-bearing securities | ||
Financial assets at fair value through profit or loss | ||
Amortized cost | 50,780 | 43,627 |
Total financial assets | 50,780 | 43,627 |
Loans to credit institutions | ||
Financial assets at fair value through profit or loss | ||
Amortized cost | 31,315 | 27,010 |
Total financial assets | 31,315 | 27,010 |
Loans to the public | ||
Financial assets at fair value through profit or loss | ||
Amortized cost | 171,562 | 163,848 |
Total financial assets | 171,562 | 163,848 |
Derivatives | ||
Financial assets at fair value through profit or loss | ||
Mandatorily | 4,248 | 4,380 |
Derivatives used for hedge accounting | 3,315 | 2,588 |
Total financial assets | kr 7,563 | kr 6,968 |
Classification of financial a_4
Classification of financial assets and liabilities - Financial liabilities (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Financial liabilities at fair value through profit or loss | ||
Mandatorily measured at fair value through profit or loss | kr 24,921 | kr 16,954 |
Designated upon initial recognition (FVO) | 47,388 | 56,705 |
Derivatives used for hedge accounting | 474 | 3,102 |
Amortized cost | 240,074 | 216,312 |
Total financial liabilities | 312,857 | 293,073 |
Borrowing from credit institutions | ||
Financial liabilities at fair value through profit or loss | ||
Amortized cost | 3,486 | 3,678 |
Total financial liabilities | 3,486 | 3,678 |
Borrowing from the public | ||
Financial liabilities at fair value through profit or loss | ||
Amortized cost | 10,000 | |
Total financial liabilities | 10,000 | |
Debt securities issued | ||
Financial liabilities at fair value through profit or loss | ||
Designated upon initial recognition (FVO) | 47,388 | 56,705 |
Amortized cost | 226,588 | 212,634 |
Total financial liabilities | 273,976 | 269,339 |
Derivatives | ||
Financial liabilities at fair value through profit or loss | ||
Mandatorily measured at fair value through profit or loss | 24,921 | 16,954 |
Derivatives used for hedge accounting | 474 | 3,102 |
Total financial liabilities | kr 25,395 | kr 20,056 |
Financial assets and liabilit_3
Financial assets and liabilities at fair value (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | kr 320,399 | kr 305,065 |
Book value of financial liabilities | 312,857 | 293,073 |
Fair value of financial assets | 330,710 | 312,379 |
Fair value of financial liabilities | 313,433 | 295,283 |
Surplus value (+) /Deficit value (-), financial assets | 10,311 | 7,314 |
Surplus value (+) /Deficit value (-) financial liabilities | 576 | 2,210 |
Borrowing from credit institutions | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial liabilities | 3,486 | 3,678 |
Fair value of financial liabilities | 3,486 | 3,678 |
Borrowing from the public | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial liabilities | 10,000 | |
Fair value of financial liabilities | 10,000 | |
Debt securities issued | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial liabilities | 273,976 | 269,339 |
Fair value of financial liabilities | 274,552 | 271,549 |
Surplus value (+) /Deficit value (-) financial liabilities | 576 | 2,210 |
Derivatives | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial liabilities | 25,395 | 20,056 |
Fair value of financial liabilities | 25,395 | 20,056 |
Cash and cash equivalents | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 3,362 | 1,362 |
Fair value of financial assets | 3,362 | 1,362 |
Treasuries/government bonds | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 22,266 | 8,344 |
Fair value of financial assets | 22,266 | 8,344 |
Other interest-bearing securities except loans | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 33,551 | 53,906 |
Fair value of financial assets | 33,551 | 53,906 |
Loans in the form of interest-bearing securities | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 50,780 | 43,627 |
Fair value of financial assets | 52,091 | 45,054 |
Surplus value (+) /Deficit value (-), financial assets | 1,311 | 1,427 |
Loans to credit institutions | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 31,315 | 27,010 |
Fair value of financial assets | 31,424 | 27,133 |
Surplus value (+) /Deficit value (-), financial assets | 109 | 123 |
Loans to the public | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 171,562 | 163,848 |
Fair value of financial assets | 180,453 | 169,612 |
Surplus value (+) /Deficit value (-), financial assets | 8,891 | 5,764 |
Derivatives | ||
Disclosure of detailed information about financial instruments | ||
Book value of financial assets | 7,563 | 6,968 |
Fair value of financial assets | kr 7,563 | kr 6,968 |
Financial assets and liabilit_4
Financial assets and liabilities at fair value - Financial assets & liabilities reported at amortized cost in fair value hierarchy (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | kr 330,710 | kr 312,379 | |
Book value of financial assets | 320,399 | 305,065 | |
Fair value of financial liabilities | 313,433 | 295,283 | |
Book value of financial liabilities | 312,857 | 293,073 | |
Borrowing from credit institutions | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 3,486 | 3,678 | |
Book value of financial liabilities | 3,486 | 3,678 | |
Borrowing from the public | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 10,000 | ||
Book value of financial liabilities | 10,000 | ||
Debt securities issued | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 274,552 | 271,549 | |
Book value of financial liabilities | 273,976 | 269,339 | |
Debt securities issued | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 41,198 | 43,752 | kr 47,898 |
Financial liabilities at amortized cost | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 240,650 | 217,323 | |
Book value of financial liabilities | 240,074 | 216,312 | |
Financial liabilities at amortized cost | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 240,650 | 217,323 | |
Financial liabilities at amortized cost | Borrowing from credit institutions | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 3,486 | 3,669 | |
Book value of financial liabilities | 3,486 | 3,678 | |
Financial liabilities at amortized cost | Borrowing from credit institutions | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 3,486 | 3,669 | |
Financial liabilities at amortized cost | Borrowing from the public | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 10,000 | ||
Book value of financial liabilities | 10,000 | ||
Financial liabilities at amortized cost | Borrowing from the public | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 10,000 | ||
Financial liabilities at amortized cost | Debt securities issued | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 227,164 | 213,654 | |
Book value of financial liabilities | 226,588 | 212,634 | |
Financial liabilities at amortized cost | Debt securities issued | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial liabilities | 227,164 | 213,654 | |
Financial assets at amortized cost | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 267,330 | 243,133 | |
Book value of financial assets | 257,019 | 235,847 | |
Financial assets at amortized cost | Level 1 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 3,668 | 1,683 | |
Financial assets at amortized cost | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 263,662 | 241,450 | |
Cash and cash equivalents | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 3,362 | 1,362 | |
Book value of financial assets | 3,362 | 1,362 | |
Cash and cash equivalents | Financial assets at amortized cost | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 3,362 | 1,362 | |
Book value of financial assets | 3,362 | 1,362 | |
Cash and cash equivalents | Financial assets at amortized cost | Level 1 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 3,362 | 1,362 | |
Loans in the form of interest-bearing securities | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 52,091 | 45,054 | |
Book value of financial assets | 50,780 | 43,627 | |
Loans in the form of interest-bearing securities | Financial assets at amortized cost | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 52,091 | 45,054 | |
Book value of financial assets | 50,780 | 43,627 | |
Loans in the form of interest-bearing securities | Financial assets at amortized cost | Level 1 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 306 | 321 | |
Loans in the form of interest-bearing securities | Financial assets at amortized cost | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 51,785 | 44,733 | |
Loans to credit institutions | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 31,424 | 27,133 | |
Book value of financial assets | 31,315 | 27,010 | |
Loans to credit institutions | Financial assets at amortized cost | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 31,424 | 27,133 | |
Book value of financial assets | 31,315 | 27,010 | |
Loans to credit institutions | Financial assets at amortized cost | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 31,424 | 27,133 | |
Loans to the public | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 180,453 | 169,612 | |
Book value of financial assets | 171,562 | 163,848 | |
Loans to the public | Financial assets at amortized cost | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | 180,453 | 169,584 | |
Book value of financial assets | 171,562 | 163,848 | |
Loans to the public | Financial assets at amortized cost | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Fair value of financial assets | kr 180,453 | kr 169,584 |
Financial assets and liabilit_5
Financial assets and liabilities at fair value - Financial assets & liabilities reported at fair value in fair value hierarchy (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | kr 330,710 | kr 312,379 | |
Financial liabilities at fair value | 313,433 | 295,283 | |
Debt securities issued | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 274,552 | 271,549 | |
Debt securities issued | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 41,198 | 43,752 | kr 47,898 |
Derivatives | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 25,395 | 20,056 | |
Financial liabilities at fair value through profit or loss | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 72,783 | 76,761 | |
Financial liabilities at fair value through profit or loss | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 29,744 | 30,546 | |
Financial liabilities at fair value through profit or loss | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 43,039 | 46,215 | |
Financial liabilities at fair value through profit or loss | Debt securities issued | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 47,388 | 56,705 | |
Financial liabilities at fair value through profit or loss | Debt securities issued | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 6,190 | 12,953 | |
Financial liabilities at fair value through profit or loss | Debt securities issued | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 41,198 | 43,752 | |
Financial liabilities at fair value through profit or loss | Derivatives | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 25,395 | 20,056 | |
Financial liabilities at fair value through profit or loss | Derivatives | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 23,554 | 17,593 | |
Financial liabilities at fair value through profit or loss | Derivatives | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Financial liabilities at fair value | 1,841 | 2,463 | |
Financial assets at fair value through profit or loss. | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 63,380 | 69,218 | |
Financial assets at fair value through profit or loss. | Level 1 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 33,582 | 34,450 | |
Financial assets at fair value through profit or loss. | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 28,220 | 32,283 | |
Financial assets at fair value through profit or loss. | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 1,578 | 2,485 | |
Treasuries/government bonds | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 22,266 | 8,344 | |
Treasuries/government bonds | Financial assets at fair value through profit or loss. | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 22,266 | 8,344 | |
Treasuries/government bonds | Financial assets at fair value through profit or loss. | Level 1 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 14,169 | 7,041 | |
Treasuries/government bonds | Financial assets at fair value through profit or loss. | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 8,097 | 1,303 | |
Other interest-bearing securities except loans | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 33,551 | 53,906 | |
Other interest-bearing securities except loans | Financial assets at fair value through profit or loss. | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 33,551 | 53,906 | |
Other interest-bearing securities except loans | Financial assets at fair value through profit or loss. | Level 1 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 19,413 | 27,409 | |
Other interest-bearing securities except loans | Financial assets at fair value through profit or loss. | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 14,138 | 26,497 | |
Derivatives | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 7,563 | 6,968 | |
Derivatives | Financial assets at fair value through profit or loss. | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 7,563 | 6,968 | |
Derivatives | Financial assets at fair value through profit or loss. | Level 2 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | 5,985 | 4,483 | |
Derivatives | Financial assets at fair value through profit or loss. | Level 3 | |||
Disclosure of detailed information about financial instruments | |||
Financial assets at fair value | kr 1,578 | kr 2,485 |
Financial assets and liabilit_6
Financial assets and liabilities at fair value - Transfers made between both assets and liabilities (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments | ||
Transfer from level 2 to 1 of financial assets | kr 21,461 | |
Debt securities issued | ||
Disclosure of detailed information about financial instruments | ||
Transfers to level 3 | kr (10,649) | |
Transfers from level 3 | 6,534 | 1,040 |
Derivatives | ||
Disclosure of detailed information about financial instruments | ||
Transfers from level 3 | kr (1,259) | |
Transfer between level 2 and level 3, net financial liabilities | kr (30) |
Financial assets and liabilit_7
Financial assets and liabilities at fair value - Financial assets and liabilities at fair value in level 3 (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of changes in fair value measurement, liabilities | ||
Financial liabilities at beginning of period | kr (295,283) | |
Financial liabilities at end of period | (313,433) | kr (295,283) |
Financial assets and liabilities at fair value in level 3 | ||
Unrealized fair value changes | 36 | (69) |
Level 3 | ||
Financial assets and liabilities at fair value in level 3 | ||
Financial assets and liabilities at fair value in level 3, at the beginning of period | (43,730) | (52,485) |
Purchases | (10,577) | (10,707) |
Settlements & sales | 15,885 | 21,015 |
Transfers to level 3 | (10,649) | 1 |
Transfers from level 3 | 5,275 | 1,009 |
Gains (+) and losses (-) through profit or loss | (2,942) | (227) |
Gains (+) and losses (-) in other comprehensive income | 44 | (43) |
Currency exchange-rate effects assets and liabilities | 5,233 | (2,293) |
Financial assets and liabilities at fair value in level 3, at the end of period | (41,461) | (43,730) |
Debt securities issued | ||
Reconciliation of changes in fair value measurement, liabilities | ||
Financial liabilities at beginning of period | (271,549) | |
Transfers to level 3 | (10,649) | |
Transfers from level 3 | 6,534 | 1,040 |
Financial liabilities at end of period | (274,552) | (271,549) |
Debt securities issued | Level 3 | ||
Reconciliation of changes in fair value measurement, liabilities | ||
Financial liabilities at beginning of period | (43,752) | (47,898) |
Purchases | (10,584) | (10,702) |
Settlements & sales | 16,285 | 21,314 |
Transfers to level 3 | (10,649) | |
Transfers from level 3 | 6,534 | 1,040 |
Gains (+) and losses (-) through profit or loss | (1,345) | (3,408) |
Gains (+) and losses (-) in other comprehensive income | 44 | (43) |
Currency exchange-rate effects liabilities | 2,269 | (4,055) |
Financial liabilities at end of period | (41,198) | (43,752) |
Derivatives | ||
Reconciliation of changes in fair value measurement, liabilities | ||
Financial liabilities at beginning of period | (20,056) | |
Financial liabilities at end of period | (25,395) | (20,056) |
Financial assets and liabilities at fair value in level 3 | ||
Transfers from level 3 | (1,259) | |
Derivatives | Level 3 | ||
Financial assets and liabilities at fair value in level 3 | ||
Financial assets and liabilities at fair value in level 3, at the beginning of period | 22 | (4,587) |
Purchases | 7 | (5) |
Settlements & sales | (400) | (299) |
Transfers to level 3 | 1 | |
Transfers from level 3 | (1,259) | (31) |
Gains (+) and losses (-) through profit or loss | (1,597) | 3,181 |
Currency exchange-rate effects assets and liabilities | 2,964 | 1,762 |
Financial assets and liabilities at fair value in level 3, at the end of period | kr (263) | kr 22 |
Financial assets and liabilit_8
Financial assets and liabilities at fair value - Assets and liabilities Sensitivity analysis - level 3 (Details) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020SEK (kr) | Dec. 31, 2019SEK (kr) | Dec. 31, 2018SEK (kr) | |
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity, correlations maximum positive relationship | 1 | ||
Sensitivity, correlations maximum negative relationship | (1) | ||
Financial liabilities at fair value | kr (313,433) | kr (295,283) | |
Correlation input | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity, input appreciation, assets | 0.12 | ||
Sensitivity, input depreciation, assets | 0.12 | ||
Sensitivity, input appreciation, liabilities | 0.12 | ||
Sensitivity, input depreciation, liabilities | 0.12 | ||
Credit spread input | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity, input appreciation, assets | 0.10% | ||
Sensitivity, input depreciation, assets | 0.10% | ||
Sensitivity, input appreciation, liabilities | 0.10% | ||
Sensitivity, input depreciation, liabilities | 0.10% | ||
Level 3 | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Net assets (liabilities) | kr (41,461) | (43,730) | kr (52,485) |
Level 3 | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | 137 | 175 | |
Level 3 | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | (137) | (172) | |
Level 3 | Own credit spread | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | 137 | 174 | |
Level 3 | Own credit spread | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | (137) | (173) | |
Level 3 | Derivatives | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Net assets (liabilities) | (263) | 22 | |
Level 3 | Derivatives | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | (59) | (44) | |
Level 3 | Derivatives | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | 59 | 46 | |
Level 3 | Derivatives | Equity risk | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Net assets (liabilities) | kr (144) | kr (345) | |
Level 3 | Derivatives | Equity risk | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.73 | |
Sensitivity impact on total comprehensive income | kr (6) | kr 1 | |
Level 3 | Derivatives | Equity risk | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | 0.02 | |
Sensitivity impact on total comprehensive income | kr 6 | kr (1) | |
Level 3 | Derivatives | Interest rate | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Net assets (liabilities) | kr 4 | kr 1,249 | |
Level 3 | Derivatives | Interest rate | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.16 | |
Sensitivity impact on total comprehensive income | kr 0 | kr (64) | |
Level 3 | Derivatives | Interest rate | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | (0.08) | |
Sensitivity impact on total comprehensive income | kr 0 | kr 63 | |
Level 3 | Derivatives | Currency risk | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Net assets (liabilities) | kr 9 | kr (711) | |
Level 3 | Derivatives | Currency risk | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.80 | |
Sensitivity impact on total comprehensive income | kr (53) | kr 19 | |
Level 3 | Derivatives | Currency risk | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | 0.10 | |
Sensitivity impact on total comprehensive income | kr 53 | kr (16) | |
Level 3 | Derivatives | Other | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Net assets (liabilities) | kr (132) | kr (171) | |
Level 3 | Derivatives | Other | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.53 | |
Sensitivity impact on total comprehensive income | kr 0 | kr 0 | |
Level 3 | Derivatives | Other | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | (0.03) | |
Sensitivity impact on total comprehensive income | kr 0 | kr 0 | |
Level 3 | Debt securities issued | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Financial liabilities at fair value | (41,198) | (43,752) | |
Level 3 | Debt securities issued | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | 196 | 219 | |
Level 3 | Debt securities issued | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Sensitivity impact on total comprehensive income | (196) | (218) | |
Level 3 | Debt securities issued | Equity risk | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Financial liabilities at fair value | kr (14,836) | kr (524) | |
Level 3 | Debt securities issued | Equity risk | Discounted cash flow | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | 10 | 10 | |
Sensitivity impact on total comprehensive income | kr 8 | kr 14 | |
Level 3 | Debt securities issued | Equity risk | Discounted cash flow | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | (10) | (10) | |
Sensitivity impact on total comprehensive income | kr (8) | kr (14) | |
Level 3 | Debt securities issued | Equity risk | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.73 | |
Sensitivity impact on total comprehensive income | kr 6 | kr (1) | |
Level 3 | Debt securities issued | Equity risk | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | 0.02 | |
Sensitivity impact on total comprehensive income | kr (6) | kr 1 | |
Level 3 | Debt securities issued | Interest rate | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Financial liabilities at fair value | kr (13,181) | kr (43,083) | |
Level 3 | Debt securities issued | Interest rate | Discounted cash flow | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | 10 | 10 | |
Sensitivity impact on total comprehensive income | kr 65 | kr 70 | |
Level 3 | Debt securities issued | Interest rate | Discounted cash flow | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | (10) | (10) | |
Sensitivity impact on total comprehensive income | kr (65) | kr (68) | |
Level 3 | Debt securities issued | Interest rate | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.16 | |
Sensitivity impact on total comprehensive income | kr 0 | kr 65 | |
Level 3 | Debt securities issued | Interest rate | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | (0.08) | |
Sensitivity impact on total comprehensive income | kr 0 | kr (64) | |
Level 3 | Debt securities issued | Currency risk | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Financial liabilities at fair value | kr (13,070) | kr (39) | |
Level 3 | Debt securities issued | Currency risk | Discounted cash flow | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | 10 | 10 | |
Sensitivity impact on total comprehensive income | kr 63 | kr 88 | |
Level 3 | Debt securities issued | Currency risk | Discounted cash flow | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | (10) | (10) | |
Sensitivity impact on total comprehensive income | kr (63) | kr (87) | |
Level 3 | Debt securities issued | Currency risk | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.80 | |
Sensitivity impact on total comprehensive income | kr 53 | kr (20) | |
Level 3 | Debt securities issued | Currency risk | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | 0.10 | |
Sensitivity impact on total comprehensive income | kr (53) | kr 17 | |
Level 3 | Debt securities issued | Other | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Financial liabilities at fair value | kr (111) | kr (106) | |
Level 3 | Debt securities issued | Other | Discounted cash flow | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | 10 | 10 | |
Sensitivity impact on total comprehensive income | kr 1 | kr 3 | |
Level 3 | Debt securities issued | Other | Discounted cash flow | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Credit spreads liabilities (in basis points) | (10) | (10) | |
Sensitivity impact on total comprehensive income | kr (1) | kr (3) | |
Level 3 | Debt securities issued | Other | Option Model | Maximum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | 0.12 | 0.53 | |
Sensitivity impact on total comprehensive income | kr 0 | kr 0 | |
Level 3 | Debt securities issued | Other | Option Model | Minimum | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets | |||
Correlation | (0.12) | (0.03) | |
Sensitivity impact on total comprehensive income | kr 0 | kr 0 |
Financial assets and liabilit_9
Financial assets and liabilities at fair value - Fair value related to credit risk (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Net CVA/DVA | ||
Fair value related to credit risk | ||
Fair value originating from credit risk (- liabilities increase/ + liabilities decrease) | kr (17) | kr (12) |
The period's change in fair value originating from credit risk (+ income/ - loss) | (5) | 17 |
OCA | ||
Fair value related to credit risk | ||
Fair value originating from credit risk (- liabilities increase/ + liabilities decrease) | (108) | (126) |
The period's change in fair value originating from credit risk (+ income/ - loss) | kr 18 | kr 24 |
Derivatives and hedge account_3
Derivatives and hedge accounting - Categories (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Sub-classifications of financial information | ||
Assets Fair value | kr 7,563 | kr 6,968 |
Liabilities Fair value | 25,395 | 20,056 |
Nominal amount of instruments directly affected by IBOR reform | 81,581 | 87,915 |
Economic hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 4,248 | 4,348 |
Liabilities Fair value | 24,921 | 16,919 |
Fair-value hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 3,315 | 2,620 |
Liabilities Fair value | 474 | 3,137 |
Derivatives | ||
Sub-classifications of financial information | ||
Nominal amounts | 500,613 | 505,294 |
Derivatives | Economic hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 287,368 | 312,920 |
Derivatives | Fair-value hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 213,245 | 192,374 |
Interest rate-related contracts | ||
Sub-classifications of financial information | ||
Assets Fair value | 3,846 | 3,998 |
Liabilities Fair value | 11,774 | 12,367 |
Interest rate-related contracts | Economic hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 2,357 | 2,568 |
Liabilities Fair value | 12,226 | 11,455 |
Interest rate-related contracts | Fair-value hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 1,489 | 1,430 |
Liabilities Fair value | (453) | 912 |
Interest rate-related contracts | Derivatives | ||
Sub-classifications of financial information | ||
Nominal amounts | 323,664 | 304,242 |
Interest rate-related contracts | Derivatives | Economic hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 132,228 | 140,829 |
Interest rate-related contracts | Derivatives | Fair-value hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 191,435 | 163,413 |
Currency-related contracts | ||
Sub-classifications of financial information | ||
Assets Fair value | 3,249 | 2,734 |
Liabilities Fair value | 11,236 | 6,933 |
Currency-related contracts | Economic hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 1,423 | 1,544 |
Liabilities Fair value | 10,310 | 4,708 |
Currency-related contracts | Fair-value hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 1,826 | 1,190 |
Liabilities Fair value | 927 | 2,225 |
Currency-related contracts | Derivatives | ||
Sub-classifications of financial information | ||
Nominal amounts | 153,838 | 182,668 |
Currency-related contracts | Derivatives | Economic hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 132,029 | 153,707 |
Currency-related contracts | Derivatives | Fair-value hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 21,810 | 28,961 |
Equity-related contracts | ||
Sub-classifications of financial information | ||
Assets Fair value | 457 | 236 |
Liabilities Fair value | 620 | 584 |
Equity-related contracts | Economic hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 457 | 236 |
Liabilities Fair value | 620 | 584 |
Equity-related contracts | Derivatives | ||
Sub-classifications of financial information | ||
Nominal amounts | 15,598 | 16,387 |
Equity-related contracts | Derivatives | Economic hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | 15,598 | 16,387 |
Contracts related to commodities, credit risk, etc. | ||
Sub-classifications of financial information | ||
Assets Fair value | 11 | |
Liabilities Fair value | 1,765 | 172 |
Contracts related to commodities, credit risk, etc. | Economic hedges | ||
Sub-classifications of financial information | ||
Assets Fair value | 11 | 0 |
Liabilities Fair value | 1,765 | 172 |
Contracts related to commodities, credit risk, etc. | Derivatives | ||
Sub-classifications of financial information | ||
Nominal amounts | 7,513 | 1,997 |
Contracts related to commodities, credit risk, etc. | Derivatives | Economic hedges | ||
Sub-classifications of financial information | ||
Nominal amounts | kr 7,513 | kr 1,997 |
Derivatives and hedge account_4
Derivatives and hedge accounting - Maturity analysis (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Interest rate-related contracts | Hedge of fixed rate assets | Not later than one month | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 4 | 116 |
Interest rate-related contracts | Hedge of fixed rate assets | Later than one month and not later than three months | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 17 | 225 |
Interest rate-related contracts | Hedge of fixed rate assets | Later than three months and not later than one year | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 146 | 2,254 |
Interest rate-related contracts | Hedge of fixed rate assets | Between 1 and 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 7,042 | 4,960 |
Interest rate-related contracts | Hedge of fixed rate assets | More than 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 11,089 | 9,296 |
Interest rate-related contracts | Hedge of fixed rate liabilities | Later than one month and not later than three months | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 9,809 | |
Interest rate-related contracts | Hedge of fixed rate liabilities | Later than three months and not later than one year | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 34,739 | 38,724 |
Interest rate-related contracts | Hedge of fixed rate liabilities | Between 1 and 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 126,023 | 103,823 |
Interest rate-related contracts | Hedge of fixed rate liabilities | More than 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 2,607 | 3,776 |
Currency-related contracts | Hedge of fixed rate assets | Not later than one month | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 41 | 6 |
Currency-related contracts | Hedge of fixed rate assets | Later than one month and not later than three months | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 61 | 26 |
Currency-related contracts | Hedge of fixed rate assets | Later than three months and not later than one year | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 427 | 644 |
Currency-related contracts | Hedge of fixed rate assets | Between 1 and 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 3,240 | 2,030 |
Currency-related contracts | Hedge of fixed rate assets | More than 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 633 | 430 |
Currency-related contracts | Hedge of fixed rate liabilities | Later than one month and not later than three months | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 425 | 421 |
Currency-related contracts | Hedge of fixed rate liabilities | Later than three months and not later than one year | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 1,920 | 7,920 |
Currency-related contracts | Hedge of fixed rate liabilities | Between 1 and 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 11,066 | 12,876 |
Currency-related contracts | Hedge of fixed rate liabilities | More than 5 years | ||
Derivatives used as fair-value hedge | ||
Nominal amount of hedging instrument | 4,491 | 4,882 |
Derivatives and hedge account_5
Derivatives and hedge accounting - Carrying amount of hedged items in fair value hedges (Details) - Fair-value hedges - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Carrying amounts of hedge items | ||
Book value assets | kr 23,779 | kr 21,401 |
Fair value hedge adjustments, assets | 1,646 | 1,482 |
Book value liabilities | 195,460 | 174,477 |
Fair value hedge adjustments, liabilities | 5,454 | 4,102 |
Loans in the form of interest-bearing securities | ||
Carrying amounts of hedge items | ||
Book value assets | 9,778 | 6,716 |
Fair value hedge adjustments, assets | 598 | 547 |
Loans to credit institutions | ||
Carrying amounts of hedge items | ||
Book value assets | 969 | 332 |
Fair value hedge adjustments, assets | 4 | 5 |
Loans to the public | ||
Carrying amounts of hedge items | ||
Book value assets | 13,032 | 14,353 |
Fair value hedge adjustments, assets | 1,044 | 930 |
Debt securities issued | ||
Carrying amounts of hedge items | ||
Book value liabilities | 195,460 | 174,477 |
Fair value hedge adjustments, liabilities | kr 5,454 | kr 4,102 |
Derivatives and hedge account_6
Derivatives and hedge accounting - Cash-flow hedges reclassified to profit or loss (Details) - Cash-flow hedges kr in Millions | 12 Months Ended |
Dec. 31, 2019SEK (kr) | |
Cash-flow hedges reclassified to profit or loss during the year | |
Interest income | kr 8 |
Total | kr 8 |
Derivatives and hedge account_7
Derivatives and hedge accounting - Offsetting (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Financial assets subject to offsetting, enforceable master netting arrangements and similar agreements | ||
Gross amounts of recognized financial assets | kr 9,912 | kr 7,948 |
Amounts offset in the Statement of Financial Position | (2,349) | (980) |
Net amounts of financial assets presented in the Statement of Financial Position | 7,563 | 6,968 |
Amounts subject to an enforceable master netting arrangement or similar agreement not offset in the Statement of Financial Position related to: | ||
Financial instruments | (2,354) | (3,799) |
Cash collateral received | (2,502) | (2,352) |
Net amount | 2,707 | 817 |
Financial liabilities subject to offsetting, enforceable master netting arrangements and similar agreements | ||
Gross amounts of recognized financial liabilities | 27,744 | 21,036 |
Amounts offset in the Statement of Financial Position | (2,349) | (980) |
Net amounts of financial liabilities presented in the Statement of Financial Position | 25,395 | 20,056 |
Amounts subject to an enforceable master netting arrangement or similar agreement not offset in the Statement of Financial Position related to: | ||
Financial instruments | (2,354) | (3,799) |
Cash collateral paid | (20,172) | (15,871) |
Net amount | kr 2,869 | kr 386 |
Shares (Details)
Shares (Details) - SEK (kr) kr in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2018 |
Shares | |||
Share capital | kr 3,990,000 | kr 3,990,000 | |
SEKETT AB | |||
Shares | |||
Share capital | kr 50 | ||
Book value | kr 0 | kr 0 | |
Number of shares | 50 | 50 |
Other assets (Details)
Other assets (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Other assets. | ||
Claim against the State for CIRR loans and concessionary loans | kr 12,359 | kr 9,124 |
Cash receivables, funding operations | 465 | 181 |
Other | 29 | 29 |
Total | kr 12,853 | kr 9,334 |
Prepaid expenses and accrued _3
Prepaid expenses and accrued revenues (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Prepaid expenses and accrued revenues | ||
Interest income accrued | kr 1,958 | kr 2,747 |
Prepaid expenses and other accrued revenues | 29 | 0 |
Total | kr 1,987 | kr 2,747 |
Debt (Details)
Debt (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Debt | ||
Total debt excluding debt securities issued | kr 13,486 | kr 3,678 |
Total debt - securities issued | 273,976 | 269,339 |
Total | 287,462 | 273,017 |
SKR | ||
Debt | ||
Total | 16,547 | 2,737 |
USD | ||
Debt | ||
Total | 202,787 | 186,021 |
JPY | ||
Debt | ||
Total | 27,812 | 32,509 |
EUR | ||
Debt | ||
Total | 19,994 | 19,813 |
Other currencies | ||
Debt | ||
Total | 20,322 | 31,937 |
Exchange-rate related contracts | ||
Debt | ||
Total debt - securities issued | 19,207 | 28,215 |
Total | 19,207 | 28,215 |
Interest rate related contracts | ||
Debt | ||
Total debt excluding debt securities issued | 13,486 | 3,678 |
Total debt - securities issued | 254,377 | 240,389 |
Total | 267,863 | 244,067 |
Equity related contracts | ||
Debt | ||
Total debt - securities issued | 281 | 629 |
Total | 281 | 629 |
Contracts related to raw materials, credit risk etc | ||
Debt | ||
Total debt - securities issued | 111 | 106 |
Total | kr 111 | kr 106 |
Debt - Major borrowing programs
Debt - Major borrowing programs (Details) kr in Millions | Dec. 31, 2020USD ($) | Dec. 31, 2020SEK (kr) | Dec. 31, 2019SEK (kr) |
Unlimited Euro Medium-Term Note Programme | |||
Debt | |||
Value outstanding | kr 96,724 | kr 96,930 | |
Unlimited SEC-registered U.S. Medium-Term Note Programme | |||
Debt | |||
Value outstanding | 160,945 | 151,750 | |
Unlimited Swedish Medium-Term Note Programme | |||
Debt | |||
Value outstanding | 438 | 424 | |
Unlimited MTN/STN AUD Debt Issuance Programme | |||
Debt | |||
Value outstanding | 4,544 | 4,598 | |
USD 3,000,000,000 U.S.Commercial Paper Programme | |||
Debt | |||
Value outstanding | kr 10,006 | kr 10,644 | |
Principal amount | $ | $ 3,000,000,000 | ||
USD 4,000,000,000 Euro-Commercial Paper Programme | |||
Debt | |||
Principal amount | $ | $ 4,000,000,000 |
Debt - Liabilities in financing
Debt - Liabilities in financing activities (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | kr 286,149 | |
Changes in liabilities arising from financing activities | ||
Cash flow | 20,782 | kr (410) |
Exchange-rate difference | (5,185) | 7,951 |
Unrealized changes in fair value | 3,567 | 5,261 |
Liabilities in financing activities at end of year | 305,313 | 286,149 |
After application of IFRS 16 | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | 273,347 | |
Senior debt | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | 273,017 | |
Changes in liabilities arising from financing activities | ||
Cash flow | 29,460 | (4,420) |
Exchange-rate difference | (17,004) | 10,580 |
Unrealized changes in fair value | 1,989 | 9,010 |
Liabilities in financing activities at end of year | 287,462 | 273,017 |
Senior debt | After application of IFRS 16 | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | 257,847 | |
Lease liability | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | 44 | |
Changes in liabilities arising from financing activities | ||
Cash flow | (27) | (39) |
Unrealized changes in fair value | 2 | (12) |
Liabilities in financing activities at end of year | 19 | 44 |
Lease liability | After application of IFRS 16 | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | 95 | |
Derivatives | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | 13,088 | |
Changes in liabilities arising from financing activities | ||
Cash flow | (8,651) | 4,049 |
Exchange-rate difference | 11,819 | (2,629) |
Unrealized changes in fair value | 1,576 | (3,737) |
Liabilities in financing activities at end of year | kr 17,832 | 13,088 |
Derivatives | After application of IFRS 16 | ||
Liabilities in financing activities | ||
Liabilities in financing activities at beginning of year | kr 15,405 |
Other liabilities (Details)
Other liabilities (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Other liabilities | ||
Cash payables, debt purchases | kr 194 | kr 2,011 |
Other | 261 | 455 |
Total | kr 455 | kr 2,466 |
Accrued expenses and prepaid _3
Accrued expenses and prepaid revenues (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Accrued expenses and prepaid revenues | ||
Interest expenses accrued | kr 1,843 | kr 2,541 |
Other accrued expenses and prepaid revenues | 81 | 41 |
Total | kr 1,924 | kr 2,582 |
Provisions (Details)
Provisions (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Provisions | ||||
Pension liabilities | kr 82 | kr 83 | kr 80 | kr 40 |
Long term employee benefit | 8 | 6 | ||
Off balance, expected credit losses | 9 | 4 | ||
Total | kr 99 | kr 93 |
Equity - Components of Equity (
Equity - Components of Equity (Details) - SEK (kr) kr / shares in Units, kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Equity | ||||
Share capital | kr 3,990 | kr 3,990 | ||
Reserves | ||||
Own credit risk | (84) | (98) | ||
Defined benefit plans | (45) | (45) | ||
Retained earnings | 16,203 | 15,235 | ||
Total equity | [1],[2] | kr 20,064 | kr 19,082 | kr 18,239 |
Total number of shares | 3,990,000 | |||
Quota value | kr 1,000 | |||
[1] | See note 22. | |||
[2] | The entire equity is attributable to the shareholder of the Parent Company. |
Equity - Restricted and unrestr
Equity - Restricted and unrestricted equity (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Equity | [1],[2] | kr 20,064 | kr 19,082 | kr 18,239 |
Restricted equity | ||||
Equity | 4,282 | 4,235 | ||
Unrestricted equity | ||||
Equity | 15,782 | 14,847 | ||
Parent Company | ||||
Equity | 20,122 | 19,138 | ||
Parent Company | Restricted equity | ||||
Equity | 4,282 | 4,235 | ||
Parent Company | Unrestricted equity | ||||
Equity | kr 15,840 | kr 14,903 | ||
[1] | See note 22. | |||
[2] | The entire equity is attributable to the shareholder of the Parent Company. |
Equity - Proposal for distribut
Equity - Proposal for distribution of profits (Details) kr / shares in Units, kr in Millions | 12 Months Ended |
Dec. 31, 2020SEK (kr)kr / shares | |
Equity | |
Profit at the disposal of the annual general meeting | kr 15,840 |
Proposed dividends | 290 |
Remaining disposable funds to be carried forward | kr 15,550 |
Proposed dividends per share | kr / shares | kr 72.78 |
Pledged assets and contingent_3
Pledged assets and contingent liabilities (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Collateral provided | ||
Cash collateral under the security agreements for derivative contracts | kr 21,979 | kr 16,891 |
Contingent liabilities | ||
Guarantee commitments | 3,969 | 4,393 |
Commitments | ||
Committed undisbursed loans | 57,213 | 52,150 |
Binding offers | kr 1,322 | kr 2,800 |
CIRR-system - Subclassification
CIRR-system - Subclassifications of financial information (Details) - SEK (kr) kr in Millions | 12 Months Ended | |||||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |||||
Sub-classifications of financial information | ||||||||
Concessionary loans outstanding | kr 382 | kr 547 | ||||||
Operating result of previous concessionary credit program | (28) | (36) | ||||||
Administrative remuneration for concessionary loans | 1 | 2 | ||||||
Comprehensive income | ||||||||
Interest income | 4,108 | 6,357 | kr 5,366 | |||||
Interest expenses | [1] | (2,162) | (4,640) | (3,924) | ||||
Foreign exchange effects | 5 | 2 | (3) | |||||
Financial position for CIRR-system | ||||||||
Cash and cash equivalents | 3,362 | [2] | 1,362 | [2] | 2,416 | [2] | kr 1,231 | |
Derivatives | 7,563 | 6,968 | ||||||
Other assets | 12,853 | 9,334 | ||||||
Prepaid expenses and accrued revenues | 1,987 | 2,747 | ||||||
Total assets | 335,399 | 317,296 | ||||||
Derivatives | 25,395 | 20,056 | ||||||
Accrued expenses and prepaid revenues | 1,924 | 2,582 | ||||||
Total liabilities and equity | 335,399 | 317,296 | ||||||
Committed undisbursed loans | 57,213 | 52,150 | ||||||
Binding offers | 1,322 | 2,800 | ||||||
CIRR-System | ||||||||
Comprehensive income | ||||||||
Interest income | 2,170 | 2,074 | 1,624 | |||||
Interest expenses | (2,087) | (1,912) | (1,480) | |||||
Interest compensation | 14 | 1 | 20 | |||||
Foreign exchange effects | 4 | 5 | 9 | |||||
Profit before compensation to SEK | 101 | 168 | 173 | |||||
Administrative remuneration to SEK | (196) | (192) | (155) | |||||
Operating profit CIRR-system | (95) | (24) | 18 | |||||
Reimbursement to (-) / from (+) the State | 95 | 24 | kr (18) | |||||
Financial position for CIRR-system | ||||||||
Cash and cash equivalents | 2 | 0 | ||||||
Loans | 69,163 | 76,120 | ||||||
Derivatives | 26 | |||||||
Other assets | 12,528 | 9,307 | ||||||
Prepaid expenses and accrued revenues | 407 | 569 | ||||||
Total assets | 82,100 | 86,022 | ||||||
Liabilities | 69,289 | 76,257 | ||||||
Derivatives | 12,232 | 9,117 | ||||||
Accrued expenses and prepaid revenues | 579 | 648 | ||||||
Total liabilities and equity | 82,100 | 86,022 | ||||||
Committed undisbursed loans | 51,463 | 47,868 | ||||||
Binding offers | kr 1,322 | kr 37 | ||||||
[1] | Since Q4 2020, SEK has changed the accounting principle regarding the CIRR-system. The comparative figures have been adjusted, see Note 1. | |||||||
[2] | Cash and cash equivalents include, in this context, cash at banks that can be immediately converted into cash and short-term deposits for which the time to maturity does not exceed three months from trade date. See note 11. |
Capital adequacy - Capital adeq
Capital adequacy - Capital adequacy (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Capital adequacy | ||
Common Equity Tier 1 capital ratio | 21.80% | 20.60% |
Tier 1 capital ratio | 21.80% | 20.60% |
Total capital ratio | 21.80% | 20.60% |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which minimum Common Equity Tier 1 requirement | 4.50% | |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which capital conservation buffer | 2.50% | |
Minimum requirement of Common Equity Tier 1 capital | 4.50% | |
Minimum requirement of Tier 1 capital | 6.00% | |
Minimum requirement of total Own Funds | 8.00% | |
Parent Company | ||
Capital adequacy | ||
Common Equity Tier 1 capital ratio | 21.80% | 20.60% |
Tier 1 capital ratio | 21.80% | 20.60% |
Total capital ratio | 21.80% | 20.60% |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers | kr 6,271 | kr 7,890 |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which minimum Common Equity Tier 1 requirement | 4,014 | 3,990 |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which capital conservation buffer | 2,230 | 2,216 |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which countercyclical buffer | 27 | 1,684 |
Common Equity Tier 1 capital available as a buffer | kr 12,310 | kr 11,171 |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers | 7.00% | 8.90% |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which minimum Common Equity Tier 1 requirement | 4.50% | 4.50% |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which capital conservation buffer | 2.50% | 2.50% |
Institution specific Common Equity Tier 1 capital requirement incl. of buffers, of which countercyclical buffer | 0.00% | 1.90% |
Common Equity Tier 1 capital available as a buffer | 13.80% | 12.60% |
Minimum requirement of Common Equity Tier 1 capital | 4.50% | 4.50% |
Addition to minimum Common Equity Tier 1 capital ratio to calculate capital available as a buffer | 3.50% |
Capital adequacy - Capital requ
Capital adequacy - Capital requirement (Details) - Parent Company - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Total capital requirement including buffers | ||
Total CRR capital requirement | kr 9,393 | kr 10,993 |
Total FSA capital requirement (for December 31, 2020 calculated as of September 30, 2020 | kr 13,773 | kr 15,606 |
Total CRR capital requirement (as a percent) | 10.50% | 12.40% |
Total FSA capital requirement (as a percent, for December 31, 2020 calculated as of September 30, 2020 | 14.70% | 16.40% |
Minimum CRR capital requirement | 8.00% | |
Minimum FSA capital requirement | 8.00% | |
Additional Capital requirement according to Swedish FSA | ||
Credit-related concentration risk (for December 31, 2020 calculated as of September 30, 2020) | kr 2,089 | kr 2,089 |
Interest rate risk in the banking book (for December 31, 2020 calculated as of September 30, 2020) | 844 | 844 |
Pension risk (for December 31, 2020 calculated as of September 30, 2020) | 11 | 11 |
Other pillar 2 capital requirements (for December 31, 2020 calculated as of September 30, 2020) | 936 | 936 |
Total Additional Capital requirement according to Swedish FSA (for December 31, 2020 calculated as of September 30, 2020) | kr 3,880 | kr 3,880 |
Credit-related concentration risk (as a percent, for December 31, 2020 calculated as of September 30, 2020) | 2.20% | 2.20% |
Interest rate risk in the banking book (as a percent, for December 31, 2020 calculated as of September 30, 2020) | 0.90% | 0.90% |
Pension risk (as a percent, for December 31, 2020 calculated as of September 30, 2020) | 0.00% | 0.00% |
Other Pillar 2 capital requirements (as a percent, for December 31, 2020 calculated as of September 30, 2020) | 1.00% | 1.00% |
Total Additional Capital requirement according to Swedish FSA (as a percent, for December 31, 2020 calculated as of September 30, 2020) | 4.10% | 4.10% |
Capital adequacy - Own funds (D
Capital adequacy - Own funds (Details) - Parent Company - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of objectives, policies and processes for managing capital | ||
Common Equity Tier 1 (CET1) capital before regulatory adjustments | kr 19,832 | kr 18,830 |
Regulatory adjustments to Common Equity Tier 1 capital | (382) | (523) |
Total Common Equity Tier-1 capital | 19,450 | 18,307 |
Total Tier-1 capital | 19,450 | 18,307 |
Own funds | kr 19,450 | 18,307 |
IRB approach | ||
Disclosure of objectives, policies and processes for managing capital | ||
Threshold percentage to increase own funds | 0.60% | |
Share capital | ||
Disclosure of objectives, policies and processes for managing capital | ||
Common Equity Tier 1 (CET1) capital before regulatory adjustments | kr 3,990 | 3,990 |
Retained earnings | ||
Disclosure of objectives, policies and processes for managing capital | ||
Common Equity Tier 1 (CET1) capital before regulatory adjustments | 14,856 | 12,829 |
Accumulated other comprehensive income and other reserves | ||
Disclosure of objectives, policies and processes for managing capital | ||
Common Equity Tier 1 (CET1) capital before regulatory adjustments | 292 | 245 |
Independently reviewed profit net of any foreseeable charge or dividend | ||
Disclosure of objectives, policies and processes for managing capital | ||
Common Equity Tier 1 (CET1) capital before regulatory adjustments | 694 | 1,766 |
Additional value adjustments due to prudent valuation | ||
Disclosure of objectives, policies and processes for managing capital | ||
Regulatory adjustments to Common Equity Tier 1 capital | (306) | (445) |
Intangible assets | ||
Disclosure of objectives, policies and processes for managing capital | ||
Regulatory adjustments to Common Equity Tier 1 capital | (98) | (56) |
Own credit risk | ||
Disclosure of objectives, policies and processes for managing capital | ||
Regulatory adjustments to Common Equity Tier 1 capital | 77 | 93 |
Negative amounts resulting from the calculation of expected loss amounts | ||
Disclosure of objectives, policies and processes for managing capital | ||
Regulatory adjustments to Common Equity Tier 1 capital | kr (55) | kr (115) |
Capital adequacy - Minimum capi
Capital adequacy - Minimum capital requirements exclusive of buffers (Details) - Parent Company - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of credit risk exposure | ||
EAD | kr 342,561 | kr 330,696 |
Risk exposure amount | 89,202 | 88,657 |
Minimum capital requirements | 7,136 | 7,093 |
Credit risk | Standardized approach | ||
Disclosure of credit risk exposure | ||
EAD | 2,245 | 2,367 |
Risk exposure amount | 2,245 | 2,367 |
Minimum capital requirements | 180 | 189 |
Credit risk | Standardized approach | Corporates | ||
Disclosure of credit risk exposure | ||
EAD | 2,245 | 2,367 |
Risk exposure amount | 2,245 | 2,367 |
Minimum capital requirements | 180 | 189 |
Credit risk | IRB approach | ||
Disclosure of credit risk exposure | ||
EAD | 340,316 | 328,329 |
Risk exposure amount | 80,377 | 79,838 |
Minimum capital requirements | 6,430 | 6,387 |
Credit risk | IRB approach | Central governments | ||
Disclosure of credit risk exposure | ||
EAD | 192,077 | 172,148 |
Risk exposure amount | 9,684 | 8,816 |
Minimum capital requirements | 775 | 705 |
Credit risk | IRB approach | Financial institutions | ||
Disclosure of credit risk exposure | ||
EAD | 30,661 | 45,437 |
Risk exposure amount | 6,764 | 10,802 |
Minimum capital requirements | 541 | 864 |
Credit risk | IRB approach | Corporates | ||
Disclosure of credit risk exposure | ||
EAD | 117,415 | 110,592 |
Risk exposure amount | 63,766 | 60,068 |
Minimum capital requirements | 5,101 | 4,806 |
Credit risk | IRB approach | Non-credit-obligation assets | ||
Disclosure of credit risk exposure | ||
EAD | 163 | 152 |
Risk exposure amount | 163 | 152 |
Minimum capital requirements | 13 | 12 |
Counterparty risk in derivatives | IRB approach | Financial institutions | ||
Disclosure of credit risk exposure | ||
EAD | 5,535 | 5,613 |
Risk exposure amount | 1,908 | 1,980 |
Minimum capital requirements | 153 | 158 |
Specialized lending | IRB approach | Corporates | ||
Disclosure of credit risk exposure | ||
EAD | 3,847 | 3,646 |
Risk exposure amount | 2,739 | 2,352 |
Minimum capital requirements | 219 | 188 |
Credit valuation adjustment risk | ||
Disclosure of credit risk exposure | ||
Risk exposure amount | 2,284 | 2,534 |
Minimum capital requirements | 183 | 203 |
Currency risk | ||
Disclosure of credit risk exposure | ||
Risk exposure amount | 664 | 695 |
Minimum capital requirements | 52 | 56 |
Commodities risk | ||
Disclosure of credit risk exposure | ||
Risk exposure amount | 7 | 9 |
Minimum capital requirements | 1 | 1 |
Operational risk | ||
Disclosure of credit risk exposure | ||
Risk exposure amount | 3,625 | 3,214 |
Minimum capital requirements | kr 290 | kr 257 |
Capital adequacy - Credit risk
Capital adequacy - Credit risk by PD grade (Details) - SEK (kr) kr in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Mar. 16, 2020 | Mar. 15, 2020 | Dec. 31, 2019 | |
Disclosure of credit risk exposure | ||||
Capital conservation buffer | 2.50% | |||
Sweden | ||||
Disclosure of credit risk exposure | ||||
Countercyclical buffer | 0.00% | 0.00% | 2.50% | |
Parent Company | ||||
Disclosure of credit risk exposure | ||||
EAD | kr 342,561 | kr 330,696 | ||
Capital conservation buffer | 2.50% | 2.50% | ||
Countercyclical buffer | 0.00% | 1.90% | ||
Parent Company | AAA to AA- | Central governments | ||||
Disclosure of credit risk exposure | ||||
EAD | kr 186,722 | kr 166,286 | ||
Parent Company | AAA to AA- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
EAD | 12,742 | 16,403 | ||
Parent Company | AAA to AA- | Corporates | ||||
Disclosure of credit risk exposure | ||||
EAD | 2,302 | 5,995 | ||
Parent Company | A+ to A- | Central governments | ||||
Disclosure of credit risk exposure | ||||
EAD | 5,287 | 5,862 | ||
Parent Company | A+ to A- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
EAD | 15,896 | 27,651 | ||
Parent Company | A+ to A- | Corporates | ||||
Disclosure of credit risk exposure | ||||
EAD | 17,929 | 19,438 | ||
Parent Company | BBB+ to BBB- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
EAD | 1,984 | 1,382 | ||
Parent Company | BBB+ to BBB- | Corporates | ||||
Disclosure of credit risk exposure | ||||
EAD | 69,263 | 58,945 | ||
Parent Company | BB+ to B- | Central governments | ||||
Disclosure of credit risk exposure | ||||
EAD | 68 | |||
Parent Company | BB+ to B- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
EAD | 38 | 1 | ||
Parent Company | BB+ to B- | Corporates | ||||
Disclosure of credit risk exposure | ||||
EAD | 24,063 | 22,548 | ||
Parent Company | CCC to D | Corporates | ||||
Disclosure of credit risk exposure | ||||
EAD | kr 12 | kr 20 | ||
Parent Company | Sweden | ||||
Disclosure of credit risk exposure | ||||
Capital requirement exposure | 70.00% | 70.00% | ||
Parent Company | Foreign countries | ||||
Disclosure of credit risk exposure | ||||
Countercyclical buffer | 0.03% | 0.10% | ||
Parent Company | Standardized approach | Operational risk | ||||
Disclosure of credit risk exposure | ||||
Fiscal years for each business area to calculate income indicators | 3 years | |||
Parent Company | Minimum | AAA to AA- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.003% | 0.003% | ||
Parent Company | Minimum | AAA to AA- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.01% | 0.01% | ||
Parent Company | Minimum | A+ to A- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.02% | 0.02% | ||
Parent Company | Minimum | A+ to A- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.06% | 0.06% | ||
Parent Company | Minimum | BBB+ to BBB- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.12% | 0.12% | ||
Parent Company | Minimum | BBB+ to BBB- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.16% | 0.16% | ||
Parent Company | Minimum | BB+ to B- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.54% | 0.54% | ||
Parent Company | Minimum | BB+ to B- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.50% | 0.50% | ||
Parent Company | Minimum | CCC to D | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 27.27% | 27.27% | ||
Parent Company | Minimum | CCC to D | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 28.91% | 28.91% | ||
Parent Company | Minimum | Standardized approach | Operational risk | ||||
Disclosure of credit risk exposure | ||||
Capital requirement multiple factor | 15.00% | |||
Parent Company | Maximum | AAA to AA- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.01% | 0.01% | ||
Parent Company | Maximum | AAA to AA- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.04% | 0.04% | ||
Parent Company | Maximum | A+ to A- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.07% | 0.07% | ||
Parent Company | Maximum | A+ to A- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.11% | 0.11% | ||
Parent Company | Maximum | BBB+ to BBB- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.32% | 0.32% | ||
Parent Company | Maximum | BBB+ to BBB- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.32% | 0.32% | ||
Parent Company | Maximum | BB+ to B- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 6.80% | 6.80% | ||
Parent Company | Maximum | BB+ to B- | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 8.27% | 8.27% | ||
Parent Company | Maximum | CCC to D | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 100.00% | 100.00% | ||
Parent Company | Maximum | CCC to D | Financial institutions and corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 100.00% | 100.00% | ||
Parent Company | Maximum | Standardized approach | Operational risk | ||||
Disclosure of credit risk exposure | ||||
Capital requirement multiple factor | 18.00% | |||
Parent Company | Average | AAA to AA- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.004% | 0.004% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 4.60% | 4.60% | ||
Parent Company | Average | AAA to AA- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.04% | 0.04% | ||
Average LGD in % | 36.70% | 35.30% | ||
Average risk weight in % | 17.30% | 17.10% | ||
Parent Company | Average | AAA to AA- | Corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.03% | 0.04% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 19.40% | 19.70% | ||
Parent Company | Average | A+ to A- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.05% | 0.05% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 20.00% | 19.80% | ||
Parent Company | Average | A+ to A- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.07% | 0.08% | ||
Average LGD in % | 35.70% | 37.10% | ||
Average risk weight in % | 22.10% | 25.70% | ||
Parent Company | Average | A+ to A- | Corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.09% | 0.10% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 30.60% | 33.10% | ||
Parent Company | Average | BBB+ to BBB- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.18% | 0.22% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 50.30% | 64.60% | ||
Parent Company | Average | BBB+ to BBB- | Corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.23% | 0.25% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 49.40% | 51.70% | ||
Parent Company | Average | BB+ to B- | Central governments | ||||
Disclosure of credit risk exposure | ||||
PD in % | 4.14% | |||
Average LGD in % | 45.00% | |||
Average risk weight in % | 149.50% | |||
Parent Company | Average | BB+ to B- | Financial institutions | ||||
Disclosure of credit risk exposure | ||||
PD in % | 0.76% | 0.54% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 131.50% | 99.90% | ||
Parent Company | Average | BB+ to B- | Corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 1.02% | 0.83% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 86.60% | 86.80% | ||
Parent Company | Average | CCC to D | Corporates | ||||
Disclosure of credit risk exposure | ||||
PD in % | 28.90% | 28.60% | ||
Average LGD in % | 45.00% | 45.00% | ||
Average risk weight in % | 263.70% | 263.70% |
Capital adequacy - Leverage rat
Capital adequacy - Leverage ratio (Details) - SEK (kr) kr in Millions | Jun. 27, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of credit risk exposure | |||
Leverage ratio | 5.80% | 5.70% | |
Parent Company | |||
Disclosure of credit risk exposure | |||
On-balance sheet exposures | kr 297,605 | kr 288,146 | |
Off-balance sheet exposures | 37,162 | 35,856 | |
Total exposure measure | kr 334,767 | kr 324,002 | |
Leverage ratio | 5.80% | 5.70% | |
Leverage ratio requirement | 3.00% |
Capital adequacy - Internally a
Capital adequacy - Internally assessed economic capital excl. buffer (Details) - Parent Company - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of credit risk exposure | ||
Capital requirements | kr 19,450 | kr 18,307 |
Internal credit grades | ||
Disclosure of credit risk exposure | ||
Capital requirements | 10,478 | 9,824 |
Credit risk | Internal credit grades | ||
Disclosure of credit risk exposure | ||
Capital requirements | 6,121 | 7,337 |
Operational risk | Internal credit grades | ||
Disclosure of credit risk exposure | ||
Capital requirements | 203 | 183 |
Market risk | Internal credit grades | ||
Disclosure of credit risk exposure | ||
Capital requirements | 1,140 | 1,109 |
Other | Internal credit grades | ||
Disclosure of credit risk exposure | ||
Capital requirements | 183 | 203 |
Capital planning buffer | Internal credit grades | ||
Disclosure of credit risk exposure | ||
Capital requirements | kr 2,831 | kr 992 |
Risk information - Maximum expo
Risk information - Maximum exposure to credit risk (Details) € in Millions, kr in Millions | 12 Months Ended | ||
Dec. 31, 2020EUR (€) | Dec. 31, 2020SEK (kr) | Dec. 31, 2019SEK (kr) | |
Risk information | |||
Risk weight for standardized approach when no external rating is available | 100.00% | ||
Annual turnover limit for classification as small or medium-sized enterprise | € | € 50 | ||
Financial assets at fair value through profit or loss. | |||
Risk information | |||
Maximum exposure to credit risk | kr 63,501 | kr 69,470 | |
Financial assets at amortized cost | |||
Risk information | |||
Maximum exposure to credit risk | 297,710 | 279,204 | |
Cash and cash equivalents | Financial assets at amortized cost | |||
Risk information | |||
Maximum exposure to credit risk | 3,362 | 1,362 | |
Treasuries/government bonds | Financial assets at fair value through profit or loss. | |||
Risk information | |||
Maximum exposure to credit risk | 22,275 | 8,370 | |
Other interest-bearing securities except loans | Financial assets at fair value through profit or loss. | |||
Risk information | |||
Maximum exposure to credit risk | 33,663 | 54,132 | |
Loans in the form of interest-bearing securities | Financial assets at amortized cost | |||
Risk information | |||
Maximum exposure to credit risk | 50,947 | 43,793 | |
Loans to credit institutions | Financial assets at amortized cost | |||
Risk information | |||
Maximum exposure to credit risk | 16,326 | 11,235 | |
Loans to the public | Financial assets at amortized cost | |||
Risk information | |||
Maximum exposure to credit risk | 227,075 | 222,814 | |
Derivatives | Financial assets at fair value through profit or loss. | |||
Risk information | |||
Maximum exposure to credit risk | kr 7,563 | kr 6,968 |
Risk information - Credit expos
Risk information - Credit exposure (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Financial assets. | kr 320,399 | kr 305,065 |
Committed undisbursed loans | 57,213 | 52,150 |
AAA | ||
Risk information | ||
Financial assets. | 126,728 | 110,898 |
Committed undisbursed loans | 52,669 | 48,246 |
AA+ to A- | ||
Risk information | ||
Financial assets. | 94,229 | 107,653 |
Committed undisbursed loans | 1,374 | 1,307 |
BBB+ to BBB- | ||
Risk information | ||
Financial assets. | 24,445 | 63,830 |
Committed undisbursed loans | 1,145 | 807 |
BB+ to B- | ||
Risk information | ||
Financial assets. | 74,972 | 22,684 |
Committed undisbursed loans | 2,025 | 1,790 |
CCC to D | ||
Risk information | ||
Financial assets. | 25 | |
Cash and cash equivalents | ||
Risk information | ||
Financial assets. | 3,362 | 1,362 |
Cash and cash equivalents | AAA | ||
Risk information | ||
Financial assets. | 3,362 | 711 |
Cash and cash equivalents | AA+ to A- | ||
Risk information | ||
Financial assets. | 651 | |
Treasuries/government bonds | ||
Risk information | ||
Financial assets. | 22,266 | 8,344 |
Treasuries/government bonds | AAA | ||
Risk information | ||
Financial assets. | 11,380 | 2,191 |
Treasuries/government bonds | AA+ to A- | ||
Risk information | ||
Financial assets. | 10,886 | 6,153 |
Other interest-bearing securities except loans | ||
Risk information | ||
Financial assets. | 33,551 | 53,906 |
Other interest-bearing securities except loans | AAA | ||
Risk information | ||
Financial assets. | 16,919 | 20,092 |
Other interest-bearing securities except loans | AA+ to A- | ||
Risk information | ||
Financial assets. | 16,632 | 33,284 |
Other interest-bearing securities except loans | BBB+ to BBB- | ||
Risk information | ||
Financial assets. | 530 | |
Loans in the form of interest-bearing securities | ||
Risk information | ||
Financial assets. | 50,780 | 43,627 |
Loans in the form of interest-bearing securities | AAA | ||
Risk information | ||
Financial assets. | 2,937 | |
Loans in the form of interest-bearing securities | AA+ to A- | ||
Risk information | ||
Financial assets. | 11,938 | 9,785 |
Loans in the form of interest-bearing securities | BBB+ to BBB- | ||
Risk information | ||
Financial assets. | 6,305 | 29,622 |
Loans in the form of interest-bearing securities | BB+ to B- | ||
Risk information | ||
Financial assets. | 29,600 | 4,220 |
Loans to credit institutions | ||
Risk information | ||
Financial assets. | 31,315 | 27,010 |
Loans to credit institutions | AAA | ||
Risk information | ||
Financial assets. | 1,886 | 2,285 |
Loans to credit institutions | AA+ to A- | ||
Risk information | ||
Financial assets. | 27,245 | 23,455 |
Loans to credit institutions | BBB+ to BBB- | ||
Risk information | ||
Financial assets. | 78 | 1,205 |
Loans to credit institutions | BB+ to B- | ||
Risk information | ||
Financial assets. | 2,106 | 65 |
Loans to the public | ||
Risk information | ||
Financial assets. | 171,562 | 163,848 |
Loans to the public | AAA | ||
Risk information | ||
Financial assets. | 90,244 | 85,619 |
Loans to the public | AA+ to A- | ||
Risk information | ||
Financial assets. | 21,682 | 28,503 |
Loans to the public | BBB+ to BBB- | ||
Risk information | ||
Financial assets. | 18,062 | 31,327 |
Loans to the public | BB+ to B- | ||
Risk information | ||
Financial assets. | 41,549 | 18,399 |
Loans to the public | CCC to D | ||
Risk information | ||
Financial assets. | 25 | |
Derivatives | ||
Risk information | ||
Financial assets. | 7,563 | 6,968 |
Derivatives | AA+ to A- | ||
Risk information | ||
Financial assets. | 5,846 | 5,822 |
Derivatives | BBB+ to BBB- | ||
Risk information | ||
Financial assets. | kr 1,146 | |
Derivatives | BB+ to B- | ||
Risk information | ||
Financial assets. | kr 1,717 |
Risk information - Net exposure
Risk information - Net exposure (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Sub-classifications of financial information | ||
Carrying amount of financial assets | kr 320,399 | kr 305,065 |
Cash collateral under the security agreements for derivative contracts | 21,979 | 16,891 |
Cash and cash equivalents | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 3,362 | 1,362 |
Treasuries/government bonds | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 22,266 | 8,344 |
Other interest-bearing securities except loans | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 33,551 | 53,906 |
Loans in the form of interest-bearing securities | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 50,780 | 43,627 |
Loans to credit institutions | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 31,315 | 27,010 |
Loans to the public | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 171,562 | 163,848 |
Derivatives | ||
Sub-classifications of financial information | ||
Carrying amount of financial assets | 7,563 | 6,968 |
Credit risk | ||
Sub-classifications of financial information | ||
Net exposure | 359,500 | 347,500 |
Adjustment to carrying amount from exposure | 36,500 | 26,200 |
Carrying amount | 396,000 | 373,600 |
Derivative exposure after netting | 5,500 | 5,600 |
Credit risk | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 185,500 | 161,300 |
Credit risk | Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | 12,300 | 16,500 |
Credit risk | Multilateral development banks | ||
Sub-classifications of financial information | ||
Net exposure | 3,500 | 3,100 |
Credit risk | Public sector entity | ||
Sub-classifications of financial information | ||
Net exposure | 4,200 | 4,000 |
Credit risk | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 30,900 | 45,700 |
Credit risk | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 123,100 | 116,900 |
Credit risk | Financial assets | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 35,200 | 26,200 |
Carrying amount of financial assets | 333,500 | 314,300 |
Credit risk | Financial assets | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 131,700 | 110,400 |
Credit risk | Financial assets | Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | 12,300 | 16,500 |
Credit risk | Financial assets | Multilateral development banks | ||
Sub-classifications of financial information | ||
Net exposure | 3,500 | 3,100 |
Credit risk | Financial assets | Public sector entity | ||
Sub-classifications of financial information | ||
Net exposure | 4,200 | 4,000 |
Credit risk | Financial assets | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 30,000 | 44,500 |
Credit risk | Financial assets | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 116,600 | 109,600 |
Credit risk | Cash and cash equivalents | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 100 | (100) |
Carrying amount of financial assets | 3,400 | 1,400 |
Credit risk | Cash and cash equivalents | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 2,500 | |
Credit risk | Cash and cash equivalents | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 800 | 1,500 |
Credit risk | Treasuries/government bonds | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 0 | (100) |
Carrying amount of financial assets | 22,300 | 8,300 |
Credit risk | Treasuries/government bonds | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 22,300 | 8,400 |
Credit risk | Other interest-bearing securities except loans | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | (200) | 0 |
Carrying amount of financial assets | 33,600 | 53,900 |
Credit risk | Other interest-bearing securities except loans | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 3,200 | 3,300 |
Credit risk | Other interest-bearing securities except loans | Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | 7,900 | 10,600 |
Credit risk | Other interest-bearing securities except loans | Multilateral development banks | ||
Sub-classifications of financial information | ||
Net exposure | 3,200 | 2,800 |
Credit risk | Other interest-bearing securities except loans | Public sector entity | ||
Sub-classifications of financial information | ||
Net exposure | 4,200 | 4,000 |
Credit risk | Other interest-bearing securities except loans | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 13,200 | 26,700 |
Credit risk | Other interest-bearing securities except loans | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 2,100 | 6,500 |
Credit risk | Loans in the form of interest-bearing securities | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 0 | (200) |
Carrying amount of financial assets | 50,800 | 43,600 |
Credit risk | Loans in the form of interest-bearing securities | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 2,900 | |
Credit risk | Loans in the form of interest-bearing securities | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 500 | 900 |
Credit risk | Loans in the form of interest-bearing securities | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 47,400 | 42,900 |
Credit risk | Loans to credit institutions | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 21,900 | 16,900 |
Carrying amount of financial assets | 31,300 | 27,000 |
Cash collateral under the security agreements for derivative contracts | 22,000 | 16,900 |
Credit risk | Loans to credit institutions | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 1,100 | 900 |
Credit risk | Loans to credit institutions | Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | 4,100 | 5,100 |
Credit risk | Loans to credit institutions | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 3,400 | 4,000 |
Credit risk | Loans to credit institutions | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 800 | 100 |
Credit risk | Loans to the public | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | (1,600) | (1,000) |
Carrying amount of financial assets | 171,600 | 163,800 |
Credit risk | Loans to the public | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 99,700 | 97,800 |
Credit risk | Loans to the public | Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | 300 | 800 |
Credit risk | Loans to the public | Multilateral development banks | ||
Sub-classifications of financial information | ||
Net exposure | 300 | 300 |
Credit risk | Loans to the public | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 6,600 | 5,800 |
Credit risk | Loans to the public | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 66,300 | 60,100 |
Credit risk | Derivatives | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 2,100 | 1,400 |
Carrying amount of financial assets | 7,600 | 7,000 |
Credit risk | Derivatives | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 5,500 | 5,600 |
Credit risk | Derivatives | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | 0 | |
Credit risk | Other assets | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 12,900 | 9,300 |
Carrying amount of financial assets | 12,900 | 9,300 |
Credit risk | Contingent liabilities and commitments | ||
Sub-classifications of financial information | ||
Adjustment to carrying amount from exposure | 1,300 | 0 |
Contingent liabilities and commitments | 62,500 | 59,300 |
Credit risk | Contingent liabilities and commitments | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | 53,800 | 50,800 |
Credit risk | Contingent liabilities and commitments | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | 900 | 1,200 |
Credit risk | Contingent liabilities and commitments | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | kr 6,500 | kr 7,300 |
Risk information - Total net ex
Risk information - Total net exposures (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Sub-classifications of financial information | ||
Net exposure | kr 359.5 | kr 347.5 |
Percentage of net exposures | 100.00% | 100.00% |
Central governments | ||
Sub-classifications of financial information | ||
Net exposure | kr 185.5 | kr 161.3 |
Percentage of net exposures | 51.60% | 46.40% |
Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | kr 12.3 | kr 16.5 |
Percentage of net exposures | 3.40% | 4.70% |
Multilateral development banks | ||
Sub-classifications of financial information | ||
Net exposure | kr 3.5 | kr 3.1 |
Percentage of net exposures | 1.00% | 0.90% |
Public sector entity | ||
Sub-classifications of financial information | ||
Net exposure | kr 4.2 | kr 4 |
Percentage of net exposures | 1.20% | 1.20% |
Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | kr 30.9 | kr 45.7 |
Percentage of net exposures | 8.60% | 13.20% |
Corporates | ||
Sub-classifications of financial information | ||
Net exposure | kr 123.1 | kr 116.9 |
Percentage of net exposures | 34.20% | 33.60% |
Interest-bearing securities and lending | ||
Sub-classifications of financial information | ||
Net exposure | kr 292.1 | kr 282.5 |
Percentage of net exposures | 100.00% | 100.00% |
Interest-bearing securities and lending | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | kr 131.6 | kr 110.4 |
Percentage of net exposures | 45.00% | 39.10% |
Interest-bearing securities and lending | Regional governments | ||
Sub-classifications of financial information | ||
Net exposure | kr 12.3 | kr 16.5 |
Percentage of net exposures | 4.20% | 5.80% |
Interest-bearing securities and lending | Multilateral development banks | ||
Sub-classifications of financial information | ||
Net exposure | kr 3.5 | kr 3.1 |
Percentage of net exposures | 1.20% | 1.10% |
Interest-bearing securities and lending | Public sector entity | ||
Sub-classifications of financial information | ||
Net exposure | kr 4.2 | kr 4 |
Percentage of net exposures | 1.50% | 1.40% |
Interest-bearing securities and lending | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | kr 24.5 | kr 38.9 |
Percentage of net exposures | 8.40% | 13.80% |
Interest-bearing securities and lending | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | kr 116 | kr 109.6 |
Percentage of net exposures | 39.70% | 38.80% |
Committed undisbursed loans, derivatives, etc. | ||
Sub-classifications of financial information | ||
Net exposure | kr 67.4 | kr 65 |
Percentage of net exposures | 100.00% | 100.00% |
Committed undisbursed loans, derivatives, etc. | Central governments | ||
Sub-classifications of financial information | ||
Net exposure | kr 53.9 | kr 50.9 |
Percentage of net exposures | 80.00% | 78.30% |
Committed undisbursed loans, derivatives, etc. | Financial institutions | ||
Sub-classifications of financial information | ||
Net exposure | kr 6.4 | kr 6.8 |
Percentage of net exposures | 9.50% | 10.50% |
Committed undisbursed loans, derivatives, etc. | Corporates | ||
Sub-classifications of financial information | ||
Net exposure | kr 7.1 | kr 7.3 |
Percentage of net exposures | 10.50% | 11.20% |
Risk information - Gross exposu
Risk information - Gross exposure by region and class (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Gross exposure | kr 359.5 | kr 347.5 |
Central governments | ||
Risk information | ||
Gross exposure | 84.9 | 63.9 |
Regional governments | ||
Risk information | ||
Gross exposure | 9.3 | 12.3 |
Multilateral development banks | ||
Risk information | ||
Gross exposure | 3.1 | 2.8 |
Public sector entity | ||
Risk information | ||
Gross exposure | 4.3 | 4 |
Financial institutions | ||
Risk information | ||
Gross exposure | 27 | 43.2 |
Corporates | ||
Risk information | ||
Gross exposure | 230.9 | 221.3 |
Middle East/ Africa/Turkey | ||
Risk information | ||
Gross exposure | 26.8 | 27 |
Middle East/ Africa/Turkey | Central governments | ||
Risk information | ||
Gross exposure | 11.3 | 4.2 |
Middle East/ Africa/Turkey | Regional governments | ||
Risk information | ||
Gross exposure | 1.4 | 1.7 |
Middle East/ Africa/Turkey | Corporates | ||
Risk information | ||
Gross exposure | 14.1 | 21.1 |
Asia excl. Japan | ||
Risk information | ||
Gross exposure | 9.8 | 16.1 |
Asia excl. Japan | Central governments | ||
Risk information | ||
Gross exposure | 3.6 | 4.8 |
Asia excl. Japan | Financial institutions | ||
Risk information | ||
Gross exposure | 1.2 | 2.7 |
Asia excl. Japan | Corporates | ||
Risk information | ||
Gross exposure | 5 | 8.6 |
Japan | ||
Risk information | ||
Gross exposure | 4.2 | 4.8 |
Japan | Central governments | ||
Risk information | ||
Gross exposure | 2.4 | 2.8 |
Japan | Financial institutions | ||
Risk information | ||
Gross exposure | 0.1 | 0.6 |
Japan | Corporates | ||
Risk information | ||
Gross exposure | 1.7 | 1.4 |
North America | ||
Risk information | ||
Gross exposure | 65.8 | 72.1 |
North America | Central governments | ||
Risk information | ||
Gross exposure | 0.8 | 1.3 |
North America | Financial institutions | ||
Risk information | ||
Gross exposure | 1 | 5.7 |
North America | Corporates | ||
Risk information | ||
Gross exposure | 64 | 65.1 |
Oceania | ||
Risk information | ||
Gross exposure | 0.8 | 0.9 |
Oceania | Financial institutions | ||
Risk information | ||
Gross exposure | 0.8 | 0.9 |
Latin America | ||
Risk information | ||
Gross exposure | 50 | 49.8 |
Latin America | Central governments | ||
Risk information | ||
Gross exposure | 42 | 42.2 |
Latin America | Corporates | ||
Risk information | ||
Gross exposure | 8 | 7.6 |
Sweden | ||
Risk information | ||
Gross exposure | 138.4 | 115.8 |
Sweden | Central governments | ||
Risk information | ||
Gross exposure | 12.1 | 3 |
Sweden | Regional governments | ||
Risk information | ||
Gross exposure | 7.9 | 10.5 |
Sweden | Financial institutions | ||
Risk information | ||
Gross exposure | 13.3 | 19.7 |
Sweden | Corporates | ||
Risk information | ||
Gross exposure | 105.1 | 82.6 |
West European countries excl. Sweden | ||
Risk information | ||
Gross exposure | 58.8 | 57.2 |
West European countries excl. Sweden | Central governments | ||
Risk information | ||
Gross exposure | 12.7 | 5.6 |
West European countries excl. Sweden | Regional governments | ||
Risk information | ||
Gross exposure | 0 | 0.1 |
West European countries excl. Sweden | Multilateral development banks | ||
Risk information | ||
Gross exposure | 3.1 | 2.8 |
West European countries excl. Sweden | Public sector entity | ||
Risk information | ||
Gross exposure | 4.3 | 4 |
West European countries excl. Sweden | Financial institutions | ||
Risk information | ||
Gross exposure | 10.4 | 13.4 |
West European countries excl. Sweden | Corporates | ||
Risk information | ||
Gross exposure | 28.3 | 31.3 |
Central-East European countries | ||
Risk information | ||
Gross exposure | 4.9 | 3.8 |
Central-East European countries | Financial institutions | ||
Risk information | ||
Gross exposure | 0.2 | 0.2 |
Central-East European countries | Corporates | ||
Risk information | ||
Gross exposure | kr 4.7 | kr 3.6 |
Risk information - Net exposu_2
Risk information - Net exposure by region and class (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Net exposure | kr 359.5 | kr 347.5 |
Central governments | ||
Risk information | ||
Net exposure | 185.5 | 161.3 |
Regional governments | ||
Risk information | ||
Net exposure | 12.3 | 16.5 |
Multilateral development banks | ||
Risk information | ||
Net exposure | 3.5 | 3.1 |
Public sector entity | ||
Risk information | ||
Net exposure | 4.2 | 4 |
Financial institutions | ||
Risk information | ||
Net exposure | 30.9 | 45.7 |
Corporates | ||
Risk information | ||
Net exposure | 123.1 | 116.9 |
Middle East/ Africa/Turkey | ||
Risk information | ||
Net exposure | 2.7 | 4.5 |
Middle East/ Africa/Turkey | Central governments | ||
Risk information | ||
Net exposure | 0.1 | |
Middle East/ Africa/Turkey | Financial institutions | ||
Risk information | ||
Net exposure | 0 | |
Middle East/ Africa/Turkey | Corporates | ||
Risk information | ||
Net exposure | 2.6 | 4.5 |
Asia excl. Japan | ||
Risk information | ||
Net exposure | 2.7 | 5 |
Asia excl. Japan | Central governments | ||
Risk information | ||
Net exposure | 0.4 | 0.6 |
Asia excl. Japan | Financial institutions | ||
Risk information | ||
Net exposure | 1.2 | 2.7 |
Asia excl. Japan | Corporates | ||
Risk information | ||
Net exposure | 1.1 | 1.7 |
Japan | ||
Risk information | ||
Net exposure | 6.9 | 7.5 |
Japan | Central governments | ||
Risk information | ||
Net exposure | 2.4 | 2.8 |
Japan | Financial institutions | ||
Risk information | ||
Net exposure | 0.6 | 0.9 |
Japan | Corporates | ||
Risk information | ||
Net exposure | 3.9 | 3.8 |
North America | ||
Risk information | ||
Net exposure | 9 | 13.4 |
North America | Central governments | ||
Risk information | ||
Net exposure | 1.6 | 2.8 |
North America | Financial institutions | ||
Risk information | ||
Net exposure | 1.7 | 6.6 |
North America | Corporates | ||
Risk information | ||
Net exposure | 5.7 | 4 |
Oceania | ||
Risk information | ||
Net exposure | 0.8 | 0.9 |
Oceania | Financial institutions | ||
Risk information | ||
Net exposure | 0.8 | 0.9 |
Latin America | ||
Risk information | ||
Net exposure | 3.3 | 2.8 |
Latin America | Corporates | ||
Risk information | ||
Net exposure | 3.3 | 2.8 |
Sweden | ||
Risk information | ||
Net exposure | 268 | 251.2 |
Sweden | Central governments | ||
Risk information | ||
Net exposure | 159.2 | 138.1 |
Sweden | Regional governments | ||
Risk information | ||
Net exposure | 12.2 | 16.3 |
Sweden | Financial institutions | ||
Risk information | ||
Net exposure | 11.4 | 16.7 |
Sweden | Corporates | ||
Risk information | ||
Net exposure | 85.2 | 80.1 |
West European countries excl. Sweden | ||
Risk information | ||
Net exposure | 62.7 | 58.8 |
West European countries excl. Sweden | Central governments | ||
Risk information | ||
Net exposure | 19 | 13.9 |
West European countries excl. Sweden | Regional governments | ||
Risk information | ||
Net exposure | 0.1 | 0.2 |
West European countries excl. Sweden | Multilateral development banks | ||
Risk information | ||
Net exposure | 3.5 | 3.1 |
West European countries excl. Sweden | Public sector entity | ||
Risk information | ||
Net exposure | 4.2 | 4 |
West European countries excl. Sweden | Financial institutions | ||
Risk information | ||
Net exposure | 15 | 17.7 |
West European countries excl. Sweden | Corporates | ||
Risk information | ||
Net exposure | 20.9 | 19.9 |
Central-East European countries | ||
Risk information | ||
Net exposure | 3.4 | 3.4 |
Central-East European countries | Central governments | ||
Risk information | ||
Net exposure | 2.8 | 3.1 |
Central-East European countries | Financial institutions | ||
Risk information | ||
Net exposure | 0.2 | 0.2 |
Central-East European countries | Corporates | ||
Risk information | ||
Net exposure | kr 0.4 | kr 0.1 |
Risk information - Effect of cr
Risk information - Effect of credit risk mitigation (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Hedged exposures | kr 173.2 | kr 165.6 |
Unhedged exposures | 186.3 | 181.9 |
Gross exposure | 359.5 | 347.5 |
Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 173.2 | 165.6 |
Unhedged exposures | 130.5 | 119.3 |
Gross exposure | 303.7 | 284.9 |
Central governments | ||
Risk information | ||
Hedged exposures | 157.1 | 148.7 |
Unhedged exposures - hedge issuer in same group as counterparty | 0.1 | 0.1 |
Central governments | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 157.1 | 148.7 |
Central governments | Guarantee | Guarantees by the Swedish Export Credit Agency | ||
Risk information | ||
Hedged exposures | 146.6 | 135.1 |
Central governments | Guarantee | Guarantees by the Swedish Export Credit Agency | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 146.6 | 135.1 |
Central governments | Guarantee | Guarantees by other export credit agencies | ||
Risk information | ||
Hedged exposures | 7.5 | 10.4 |
Central governments | Guarantee | Guarantees by other export credit agencies | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 7.5 | 10.4 |
Central governments | Guarantee | Other guarantees | ||
Risk information | ||
Hedged exposures | 3 | 3.2 |
Central governments | Guarantee | Other guarantees | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 3 | 3.2 |
Regional governments | ||
Risk information | ||
Hedged exposures | 4.3 | 5.8 |
Regional governments | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 4.3 | 5.8 |
Multilateral development banks | ||
Risk information | ||
Hedged exposures | 0.4 | 0.3 |
Multilateral development banks | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 0.4 | 0.3 |
Financial institutions | ||
Risk information | ||
Hedged exposures | 7.9 | 7.7 |
Unhedged exposures - hedge issuer in same group as counterparty | 0.6 | 4.2 |
Financial institutions | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 7.9 | 7.7 |
Financial institutions | Guarantee | ||
Risk information | ||
Hedged exposures | 7.9 | 7.7 |
Financial institutions | Guarantee | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 7.9 | 7.7 |
Corporates | ||
Risk information | ||
Hedged exposures | 3.5 | 3.1 |
Unhedged exposures - hedge issuer in same group as counterparty | 26.1 | 23.5 |
Corporates | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 3.5 | 3.1 |
Corporates | Credit insurance from insurance companies | ||
Risk information | ||
Hedged exposures | 0.6 | 1.6 |
Corporates | Credit insurance from insurance companies | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 0.6 | 1.6 |
Corporates | Guarantee | Other guarantees | ||
Risk information | ||
Hedged exposures | 2.9 | 1.5 |
Corporates | Guarantee | Other guarantees | Subject to the write-down requirement in IFRS 9 | ||
Risk information | ||
Hedged exposures | 2.9 | 1.5 |
Central governments | ||
Risk information | ||
Hedged exposures | 56.8 | 51.3 |
Unhedged exposures | 28.1 | 12.6 |
Gross exposure | 84.9 | 63.9 |
Central governments | Central governments | ||
Risk information | ||
Hedged exposures | 56.8 | 51.3 |
Central governments | Central governments | Guarantee | Guarantees by the Swedish Export Credit Agency | ||
Risk information | ||
Hedged exposures | 56.1 | 50.4 |
Central governments | Central governments | Guarantee | Guarantees by other export credit agencies | ||
Risk information | ||
Hedged exposures | 0.7 | 0.9 |
Central governments | Financial institutions | ||
Risk information | ||
Hedged exposures | 0 | 0 |
Central governments | Financial institutions | Guarantee | ||
Risk information | ||
Hedged exposures | 0 | 0 |
Regional governments | ||
Risk information | ||
Hedged exposures | 1.4 | 1.7 |
Unhedged exposures | 7.9 | 10.6 |
Gross exposure | 9.3 | 12.3 |
Regional governments | Central governments | ||
Risk information | ||
Hedged exposures | 1.4 | 1.7 |
Regional governments | Central governments | Guarantee | Guarantees by the Swedish Export Credit Agency | ||
Risk information | ||
Hedged exposures | 1.4 | 1.7 |
Multilateral development banks | ||
Risk information | ||
Unhedged exposures | 3.1 | 2.8 |
Gross exposure | 3.1 | 2.8 |
Public sector entity | ||
Risk information | ||
Unhedged exposures | 4.3 | 4 |
Gross exposure | 4.3 | 4 |
Financial institutions | ||
Risk information | ||
Hedged exposures | 4 | 5.1 |
Unhedged exposures | 23 | 38.1 |
Gross exposure | 27 | 43.2 |
Financial institutions | Central governments | ||
Risk information | ||
Hedged exposures | 0 | |
Financial institutions | Central governments | Guarantee | Guarantees by the Swedish Export Credit Agency | ||
Risk information | ||
Hedged exposures | 0 | |
Financial institutions | Regional governments | ||
Risk information | ||
Hedged exposures | 4 | 5.1 |
Financial institutions | Financial institutions | ||
Risk information | ||
Hedged exposures | 0 | |
Financial institutions | Financial institutions | Guarantee | ||
Risk information | ||
Hedged exposures | 0 | |
Corporates | ||
Risk information | ||
Hedged exposures | 111 | 107.5 |
Unhedged exposures | 119.9 | 113.8 |
Gross exposure | 230.9 | 221.3 |
Corporates | Central governments | ||
Risk information | ||
Hedged exposures | 98.9 | 95.7 |
Corporates | Central governments | Guarantee | Guarantees by the Swedish Export Credit Agency | ||
Risk information | ||
Hedged exposures | 89.1 | 83 |
Corporates | Central governments | Guarantee | Guarantees by other export credit agencies | ||
Risk information | ||
Hedged exposures | 6.8 | 9.5 |
Corporates | Central governments | Guarantee | Other guarantees | ||
Risk information | ||
Hedged exposures | 3 | 3.2 |
Corporates | Regional governments | ||
Risk information | ||
Hedged exposures | 0.3 | 0.7 |
Corporates | Multilateral development banks | ||
Risk information | ||
Hedged exposures | 0.4 | 0.3 |
Corporates | Financial institutions | ||
Risk information | ||
Hedged exposures | 7.9 | 7.7 |
Corporates | Financial institutions | Guarantee | ||
Risk information | ||
Hedged exposures | 7.9 | 7.7 |
Corporates | Corporates | ||
Risk information | ||
Hedged exposures | 3.5 | 3.1 |
Corporates | Corporates | Credit insurance from insurance companies | ||
Risk information | ||
Hedged exposures | 0.6 | 1.6 |
Corporates | Corporates | Guarantee | Other guarantees | ||
Risk information | ||
Hedged exposures | kr 2.9 | kr 1.5 |
Risk information - Gross expo_2
Risk information - Gross exposures European countries, excluding Sweden by exposure classes (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Gross exposure | kr 359.5 | kr 347.5 |
Finland | ||
Risk information | ||
Gross exposure | 9 | 7 |
Germany | ||
Risk information | ||
Gross exposure | 6.8 | 7.3 |
Spain | ||
Risk information | ||
Gross exposure | 6.1 | 8.6 |
Austria | ||
Risk information | ||
Gross exposure | 5.7 | 1.7 |
United Kingdom | ||
Risk information | ||
Gross exposure | 4.9 | 5 |
Norway | ||
Risk information | ||
Gross exposure | 4.7 | 7.1 |
Denmark | ||
Risk information | ||
Gross exposure | 4.5 | 2.3 |
Luxembourg | ||
Risk information | ||
Gross exposure | 3.8 | 3.4 |
France | ||
Risk information | ||
Gross exposure | 3.5 | 3.5 |
Netherlands | ||
Risk information | ||
Gross exposure | 3 | 3.4 |
Italy | ||
Risk information | ||
Gross exposure | 2.9 | 3.6 |
Poland | ||
Risk information | ||
Gross exposure | 2.9 | 3.1 |
Belgium | ||
Risk information | ||
Gross exposure | 1.4 | 1.8 |
Belarus | ||
Risk information | ||
Gross exposure | 1.3 | |
Switzerland | ||
Risk information | ||
Gross exposure | 1.2 | 1.5 |
Portugal | ||
Risk information | ||
Gross exposure | 0.7 | 0.6 |
Ireland | ||
Risk information | ||
Gross exposure | 0.4 | 0.3 |
Serbia | ||
Risk information | ||
Gross exposure | 0.3 | |
Russian Federation | ||
Risk information | ||
Gross exposure | 0.2 | 0.4 |
Latvia | ||
Risk information | ||
Gross exposure | 0.2 | 0.2 |
Iceland | ||
Risk information | ||
Gross exposure | 0.1 | 0.1 |
Estonia | ||
Risk information | ||
Gross exposure | 0.1 | 0.1 |
Ukraine | ||
Risk information | ||
Gross exposure | 0 | 0 |
Europe except Sweden | ||
Risk information | ||
Gross exposure | 63.7 | 61 |
Central governments | ||
Risk information | ||
Gross exposure | 84.9 | 63.9 |
Central governments | Finland | ||
Risk information | ||
Gross exposure | 2.4 | 0.6 |
Central governments | Germany | ||
Risk information | ||
Gross exposure | 2.2 | 2.8 |
Central governments | Austria | ||
Risk information | ||
Gross exposure | 4.1 | |
Central governments | Denmark | ||
Risk information | ||
Gross exposure | 0.8 | |
Central governments | Luxembourg | ||
Risk information | ||
Gross exposure | 1 | 0.6 |
Central governments | Netherlands | ||
Risk information | ||
Gross exposure | 1 | |
Central governments | Belgium | ||
Risk information | ||
Gross exposure | 1.2 | 1.6 |
Central governments | Europe except Sweden | ||
Risk information | ||
Gross exposure | 12.7 | 5.6 |
Regional governments | ||
Risk information | ||
Gross exposure | 9.3 | 12.3 |
Regional governments | Finland | ||
Risk information | ||
Gross exposure | 0 | 0.1 |
Regional governments | Europe except Sweden | ||
Risk information | ||
Gross exposure | 0 | 0.1 |
Multilateral development banks | ||
Risk information | ||
Gross exposure | 3.1 | 2.8 |
Multilateral development banks | Finland | ||
Risk information | ||
Gross exposure | 0.3 | |
Multilateral development banks | Luxembourg | ||
Risk information | ||
Gross exposure | 2.8 | 2.8 |
Multilateral development banks | Europe except Sweden | ||
Risk information | ||
Gross exposure | 3.1 | 2.8 |
Public sector entity | ||
Risk information | ||
Gross exposure | 4.3 | 4 |
Public sector entity | Germany | ||
Risk information | ||
Gross exposure | 4.3 | 4 |
Public sector entity | Europe except Sweden | ||
Risk information | ||
Gross exposure | 4.3 | 4 |
Financial institutions | ||
Risk information | ||
Gross exposure | 27 | 43.2 |
Financial institutions | Finland | ||
Risk information | ||
Gross exposure | 0.1 | 0.1 |
Financial institutions | Germany | ||
Risk information | ||
Gross exposure | 0.3 | 0.5 |
Financial institutions | Spain | ||
Risk information | ||
Gross exposure | 0.4 | 0.5 |
Financial institutions | Austria | ||
Risk information | ||
Gross exposure | 1.6 | 1.7 |
Financial institutions | United Kingdom | ||
Risk information | ||
Gross exposure | 2.2 | 2.4 |
Financial institutions | Norway | ||
Risk information | ||
Gross exposure | 0.1 | 2 |
Financial institutions | Denmark | ||
Risk information | ||
Gross exposure | 2 | 0.9 |
Financial institutions | France | ||
Risk information | ||
Gross exposure | 2.1 | 2 |
Financial institutions | Netherlands | ||
Risk information | ||
Gross exposure | 1.5 | 3.2 |
Financial institutions | Belgium | ||
Risk information | ||
Gross exposure | 0 | 0 |
Financial institutions | Ireland | ||
Risk information | ||
Gross exposure | 0.1 | |
Financial institutions | Latvia | ||
Risk information | ||
Gross exposure | 0.2 | 0.2 |
Financial institutions | Estonia | ||
Risk information | ||
Gross exposure | 0 | 0.1 |
Financial institutions | Europe except Sweden | ||
Risk information | ||
Gross exposure | 10.6 | 13.6 |
Corporates | ||
Risk information | ||
Gross exposure | 230.9 | 221.3 |
Corporates | Finland | ||
Risk information | ||
Gross exposure | 6.2 | 6.2 |
Corporates | Spain | ||
Risk information | ||
Gross exposure | 5.7 | 8.1 |
Corporates | United Kingdom | ||
Risk information | ||
Gross exposure | 2.7 | 2.6 |
Corporates | Norway | ||
Risk information | ||
Gross exposure | 4.6 | 5.1 |
Corporates | Denmark | ||
Risk information | ||
Gross exposure | 1.7 | 1.4 |
Corporates | France | ||
Risk information | ||
Gross exposure | 1.4 | 1.5 |
Corporates | Netherlands | ||
Risk information | ||
Gross exposure | 0.5 | 0.2 |
Corporates | Italy | ||
Risk information | ||
Gross exposure | 2.9 | 3.6 |
Corporates | Poland | ||
Risk information | ||
Gross exposure | 2.9 | 3.1 |
Corporates | Belgium | ||
Risk information | ||
Gross exposure | 0.2 | 0.2 |
Corporates | Belarus | ||
Risk information | ||
Gross exposure | 1.3 | |
Corporates | Switzerland | ||
Risk information | ||
Gross exposure | 1.2 | 1.5 |
Corporates | Portugal | ||
Risk information | ||
Gross exposure | 0.7 | 0.6 |
Corporates | Ireland | ||
Risk information | ||
Gross exposure | 0.3 | 0.3 |
Corporates | Serbia | ||
Risk information | ||
Gross exposure | 0.3 | |
Corporates | Russian Federation | ||
Risk information | ||
Gross exposure | 0.2 | 0.4 |
Corporates | Iceland | ||
Risk information | ||
Gross exposure | 0.1 | 0.1 |
Corporates | Estonia | ||
Risk information | ||
Gross exposure | 0.1 | 0 |
Corporates | Ukraine | ||
Risk information | ||
Gross exposure | 0 | 0 |
Corporates | Europe except Sweden | ||
Risk information | ||
Gross exposure | kr 33 | kr 34.9 |
Risk information - Net exposu_3
Risk information - Net exposures European countries, excluding Sweden by exposure classes (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Net exposure | kr 359.5 | kr 347.5 |
Finland | ||
Risk information | ||
Net exposure | 8.9 | 6.8 |
Germany | ||
Risk information | ||
Net exposure | 8.6 | 9.1 |
France | ||
Risk information | ||
Net exposure | 8 | 8 |
United Kingdom | ||
Risk information | ||
Net exposure | 7 | 8 |
Austria | ||
Risk information | ||
Net exposure | 5.7 | 1.7 |
Denmark | ||
Risk information | ||
Net exposure | 5.2 | 3.3 |
Norway | ||
Risk information | ||
Net exposure | 4.8 | 7.3 |
Luxembourg | ||
Risk information | ||
Net exposure | 4.6 | 4.4 |
Netherlands | ||
Risk information | ||
Net exposure | 3.2 | 3.9 |
Poland | ||
Risk information | ||
Net exposure | 2.9 | 3.1 |
Belgium | ||
Risk information | ||
Net exposure | 2.5 | 2.4 |
Spain | ||
Risk information | ||
Net exposure | 1.9 | 2.1 |
Switzerland | ||
Risk information | ||
Net exposure | 0.8 | 0.7 |
Portugal | ||
Risk information | ||
Net exposure | 0.7 | 0.6 |
Ireland | ||
Risk information | ||
Net exposure | 0.6 | 0.3 |
Serbia | ||
Risk information | ||
Net exposure | 0.3 | |
Latvia | ||
Risk information | ||
Net exposure | 0.2 | 0.2 |
Iceland | ||
Risk information | ||
Net exposure | 0.1 | 0.1 |
Italy | ||
Risk information | ||
Net exposure | 0.1 | 0.1 |
Estonia | ||
Risk information | ||
Net exposure | 0.1 | 0.1 |
Europe except Sweden | ||
Risk information | ||
Net exposure | 66.2 | 62.2 |
Central governments | ||
Risk information | ||
Net exposure | 185.5 | 161.3 |
Central governments | Finland | ||
Risk information | ||
Net exposure | 2.5 | 0.8 |
Central governments | Germany | ||
Risk information | ||
Net exposure | 3 | 3.7 |
Central governments | France | ||
Risk information | ||
Net exposure | 4.7 | 6.3 |
Central governments | United Kingdom | ||
Risk information | ||
Net exposure | 0 | 0.1 |
Central governments | Austria | ||
Risk information | ||
Net exposure | 4.1 | |
Central governments | Denmark | ||
Risk information | ||
Net exposure | 1 | 0.2 |
Central governments | Norway | ||
Risk information | ||
Net exposure | 0.2 | 0.4 |
Central governments | Luxembourg | ||
Risk information | ||
Net exposure | 1 | 0.5 |
Central governments | Netherlands | ||
Risk information | ||
Net exposure | 1.3 | 0.3 |
Central governments | Poland | ||
Risk information | ||
Net exposure | 2.9 | 3.1 |
Central governments | Belgium | ||
Risk information | ||
Net exposure | 1.1 | 1.6 |
Central governments | Europe except Sweden | ||
Risk information | ||
Net exposure | 21.9 | 17 |
Regional governments | ||
Risk information | ||
Net exposure | 12.3 | 16.5 |
Regional governments | Finland | ||
Risk information | ||
Net exposure | 0.1 | 0.2 |
Regional governments | Europe except Sweden | ||
Risk information | ||
Net exposure | 0.1 | 0.2 |
Multilateral development banks | ||
Risk information | ||
Net exposure | 3.5 | 3.1 |
Multilateral development banks | Finland | ||
Risk information | ||
Net exposure | 0.3 | |
Multilateral development banks | Luxembourg | ||
Risk information | ||
Net exposure | 3.2 | 3.1 |
Multilateral development banks | Europe except Sweden | ||
Risk information | ||
Net exposure | 3.5 | 3.1 |
Public sector entity | ||
Risk information | ||
Net exposure | 4.2 | 4 |
Public sector entity | Germany | ||
Risk information | ||
Net exposure | 4.2 | 4 |
Public sector entity | Europe except Sweden | ||
Risk information | ||
Net exposure | 4.2 | 4 |
Financial institutions | ||
Risk information | ||
Net exposure | 30.9 | 45.7 |
Financial institutions | Finland | ||
Risk information | ||
Net exposure | 0.2 | 0.2 |
Financial institutions | Germany | ||
Risk information | ||
Net exposure | 1 | 1 |
Financial institutions | France | ||
Risk information | ||
Net exposure | 2.6 | 1.6 |
Financial institutions | United Kingdom | ||
Risk information | ||
Net exposure | 3.2 | 3.4 |
Financial institutions | Austria | ||
Risk information | ||
Net exposure | 1.6 | 1.7 |
Financial institutions | Denmark | ||
Risk information | ||
Net exposure | 2.5 | 1.8 |
Financial institutions | Norway | ||
Risk information | ||
Net exposure | 0.2 | 2 |
Financial institutions | Netherlands | ||
Risk information | ||
Net exposure | 1.6 | 3.4 |
Financial institutions | Belgium | ||
Risk information | ||
Net exposure | 0.7 | 0.6 |
Financial institutions | Spain | ||
Risk information | ||
Net exposure | 1.3 | 1.7 |
Financial institutions | Switzerland | ||
Risk information | ||
Net exposure | 0.1 | 0.2 |
Financial institutions | Latvia | ||
Risk information | ||
Net exposure | 0.2 | 0.2 |
Financial institutions | Estonia | ||
Risk information | ||
Net exposure | 0 | 0.1 |
Financial institutions | Europe except Sweden | ||
Risk information | ||
Net exposure | 15.2 | 17.9 |
Corporates | ||
Risk information | ||
Net exposure | 123.1 | 116.9 |
Corporates | Finland | ||
Risk information | ||
Net exposure | 5.8 | 5.6 |
Corporates | Germany | ||
Risk information | ||
Net exposure | 0.4 | 0.4 |
Corporates | France | ||
Risk information | ||
Net exposure | 0.6 | 0.1 |
Corporates | United Kingdom | ||
Risk information | ||
Net exposure | 3.8 | 4.5 |
Corporates | Denmark | ||
Risk information | ||
Net exposure | 1.7 | 1.3 |
Corporates | Norway | ||
Risk information | ||
Net exposure | 4.4 | 4.9 |
Corporates | Luxembourg | ||
Risk information | ||
Net exposure | 0.4 | 0.8 |
Corporates | Netherlands | ||
Risk information | ||
Net exposure | 0.3 | 0.2 |
Corporates | Poland | ||
Risk information | ||
Net exposure | 0 | 0 |
Corporates | Belgium | ||
Risk information | ||
Net exposure | 0.7 | 0.2 |
Corporates | Spain | ||
Risk information | ||
Net exposure | 0.6 | 0.4 |
Corporates | Switzerland | ||
Risk information | ||
Net exposure | 0.7 | 0.5 |
Corporates | Portugal | ||
Risk information | ||
Net exposure | 0.7 | 0.6 |
Corporates | Ireland | ||
Risk information | ||
Net exposure | 0.6 | 0.3 |
Corporates | Serbia | ||
Risk information | ||
Net exposure | 0.3 | |
Corporates | Iceland | ||
Risk information | ||
Net exposure | 0.1 | 0.1 |
Corporates | Italy | ||
Risk information | ||
Net exposure | 0.1 | 0.1 |
Corporates | Estonia | ||
Risk information | ||
Net exposure | 0.1 | 0 |
Corporates | Europe except Sweden | ||
Risk information | ||
Net exposure | kr 21.3 | kr 20 |
Risk information - Corporate ex
Risk information - Corporate exposures by industry (GICS) (Details) - Credit risk - SEK (kr) kr in Billions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Gross exposure | kr 359.5 | kr 347.5 |
Net exposure | 359.5 | 347.5 |
Corporates | ||
Risk information | ||
Gross exposure | 230.9 | 221.3 |
Net exposure | 123.1 | 116.9 |
Corporates | IT and telecom | ||
Risk information | ||
Gross exposure | 81.4 | 84.6 |
Net exposure | 15.1 | 13.6 |
Corporates | Industrials | ||
Risk information | ||
Gross exposure | 43.2 | 46.6 |
Net exposure | 42.1 | 40.7 |
Corporates | Consumer goods | ||
Risk information | ||
Gross exposure | 37.9 | 23.3 |
Net exposure | 27.3 | 12.8 |
Corporates | Financials | ||
Risk information | ||
Gross exposure | 25.6 | 21.2 |
Net exposure | 10.7 | 16.6 |
Corporates | Materials | ||
Risk information | ||
Gross exposure | 24.3 | 25.1 |
Net exposure | 19 | 23.8 |
Corporates | Utilities | ||
Risk information | ||
Gross exposure | 12 | 13.7 |
Net exposure | 4.8 | 4.4 |
Corporates | Healthcare | ||
Risk information | ||
Gross exposure | 4.8 | 4.8 |
Net exposure | 3.8 | 4.6 |
Corporates | Energy | ||
Risk information | ||
Gross exposure | 1.2 | 1.8 |
Net exposure | 0.1 | 0.2 |
Corporates | Other | ||
Risk information | ||
Gross exposure | 0.5 | 0.2 |
Net exposure | kr 0.2 | kr 0.2 |
Risk information - Market risk
Risk information - Market risk (Details) kr in Millions | 12 Months Ended | |
Dec. 31, 2020SEK (kr) | Dec. 31, 2019SEK (kr) | |
Risk information | ||
VAR horizon period (in years) | 2 years | |
Market risk | ||
Risk information | ||
Confidence level for VAR calculation | 99.00% | |
VAR for own funds | ||
Risk information | ||
Market risk amount | kr 26 | kr 18 |
VAR for liquidity portfolio | ||
Risk information | ||
Market risk amount | 13 | 10 |
sVaR | ||
Risk information | ||
Market risk amount | 100 | 123 |
Aggregated risk measure | ||
Risk information | ||
Market risk amount | 445 | 452 |
Interest rate risk regarding changes in the economic value of SEK's portfolio (EVE) | ||
Risk information | ||
Market risk amount | kr 334 | 252 |
Risk change (in basis points) | 100 | |
NII risk together with risk to NII from cross-currency basis spreads | ||
Risk information | ||
Market risk amount | kr 271 | 255 |
Interest rate risk regarding changes in future net interest income (NII) | ||
Risk information | ||
Risk change (in basis points) | 100 | |
Risk to NII from cross currency basis spreads | ||
Risk information | ||
Risk period to NII from cross-currency basis swaps (in months) | 12 months | |
Credit spread risk in assets | ||
Risk information | ||
Market risk amount | kr 290 | 357 |
Risk change (in basis points) | 100 | |
Credit spread risk in own debt | ||
Risk information | ||
Market risk amount | kr 312 | 456 |
Risk change (in basis points) | 20 | |
Cross currency basis spread risk | ||
Risk information | ||
Market risk amount | kr 233 | 278 |
Currency risk | ||
Risk information | ||
Market risk amount | kr 3 | 4 |
Assumed change in all foreign currency positions | 10.00% | |
Interest-rate volatility risk | ||
Risk information | ||
Market risk amount | kr 79 | 50 |
Tenor basis spread risk | ||
Risk information | ||
Market risk amount | kr 94 | kr 87 |
Risk change (in basis points) | 10 | |
Tenor basis spread risk | Minimum | ||
Risk information | ||
Lending and borrowing which is not swapped to three month tenor (in months) | 1 month | |
Tenor basis spread risk | Maximum | ||
Risk information | ||
Lending and borrowing which is not swapped to three month tenor (in months) | 6 months |
Risk information - Impact of on
Risk information - Impact of one percentage point change in market interest rate (Details) - Market risk - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Percentage of increase in market interest rate | 1.00% | 1.00% |
Impact from one percentage point increase in market interest rate | kr (316) | kr (227) |
Impact from one percentage point increase in market interest rate for instruments measured at fair value through profit or loss | kr 302 | kr 295 |
Percentage of decrease in market interest rate | 1.00% | 1.00% |
Impact from one percentage point decrease in market interest rate | kr 898 | kr 569 |
Impact from one percentage point decrease in market interest rate for instruments measured at fair value through profit or loss | (278) | (281) |
Foreign currencies | ||
Risk information | ||
Impact from one percentage point increase in market interest rate | (200) | (87) |
Impact from one percentage point increase in market interest rate for instruments measured at fair value through profit or loss | 146 | 167 |
Impact from one percentage point decrease in market interest rate | 592 | 304 |
Impact from one percentage point decrease in market interest rate for instruments measured at fair value through profit or loss | (128) | (157) |
SKR | ||
Risk information | ||
Impact from one percentage point increase in market interest rate | (116) | (140) |
Impact from one percentage point increase in market interest rate for instruments measured at fair value through profit or loss | 156 | 128 |
Impact from one percentage point decrease in market interest rate | 306 | 265 |
Impact from one percentage point decrease in market interest rate for instruments measured at fair value through profit or loss | kr (150) | kr (124) |
Risk information - Foreign curr
Risk information - Foreign currency position (Details) - Currency risk kr in Millions | Dec. 31, 2020SEK (kr)$ / kr฿ / kr$ / kr¥ / kr£ / kr€ / kr | Dec. 31, 2019SEK (kr)$ / kr฿ / kr$ / kr¥ / kr£ / kr€ / kr |
EUR | ||
Risk information | ||
Exchange rate | € / kr | 10.0181 | 10.4474 |
Share at year-end (as a %) | 1.00% | 1.00% |
Currency position | kr (189) | kr (160) |
USD | ||
Risk information | ||
Exchange rate | $ / kr | 8.1739 | 9.3283 |
Share at year-end (as a %) | 1.00% | 2.00% |
Currency position | kr (148) | kr 318 |
JPY | ||
Risk information | ||
Exchange rate | ¥ / kr | 0.0793 | 0.0857 |
Share at year-end (as a %) | 0.00% | 1.00% |
Currency position | kr (89) | kr (115) |
GBP | ||
Risk information | ||
Exchange rate | £ / kr | 11.1683 | 12.2457 |
Share at year-end (as a %) | 0.00% | 0.00% |
Currency position | kr (68) | kr (87) |
MXN | ||
Risk information | ||
Exchange rate | $ / kr | 0.4117 | 0.4947 |
Share at year-end (as a %) | 1.00% | 0.00% |
Currency position | kr (123) | kr (86) |
THB | ||
Risk information | ||
Exchange rate | ฿ / kr | 0.2727 | 0.3118 |
Share at year-end (as a %) | 0.00% | 1.00% |
Currency position | kr (60) | kr (109) |
Other currencies | ||
Risk information | ||
Share at year-end (as a %) | 0.00% | 0.00% |
Currency position | kr (12) | kr (16) |
Foreign currencies | ||
Risk information | ||
Share at year-end (as a %) | 3.00% | 5.00% |
Currency position | kr (569) | kr (255) |
Currency positions excluding unrealized changes in fair value | kr (48) | kr 5 |
Risk information - Assets and l
Risk information - Assets and liabilities in foreign currencies (Details) - SEK (kr) kr in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
Assets | kr 335,399 | kr 317,296 |
Liabilities | 315,335 | 298,214 |
Currency risk | ||
Risk information | ||
Assets | 335,399 | 317,296 |
Liabilities | 315,335 | 298,214 |
Currency risk | Foreign currencies | ||
Risk information | ||
Assets | 194,607 | 204,840 |
Liabilities | kr 195,176 | kr 205,117 |
Risk information - Liquidity re
Risk information - Liquidity reserve (Details) - SEK (kr) kr in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Risk information | |||
Borrowings | kr 287,462 | kr 273,017 | |
SKR | |||
Risk information | |||
Borrowings | 16,547 | 2,737 | |
EUR | |||
Risk information | |||
Borrowings | 19,994 | 19,813 | |
USD | |||
Risk information | |||
Borrowings | 202,787 | 186,021 | |
Other currencies | |||
Risk information | |||
Borrowings | kr 20,322 | 31,937 | |
Liquidity risk | |||
Risk information | |||
New lending capacity, target | 2 months | ||
Maturity term of revolving borrowing programs | 1 year | ||
Maturity term of swingline facility | 1 year | ||
Period of monitoring the liquidity coverage ratio | 30 days | ||
Period of cashflow forecast | 1 year | ||
Period of estimated net stable funding ratio | 1 year | ||
Liquidity Reserve | kr 52,000 | 42,400 | |
Liquidity risk | Credit facility with the Swedish National Debt Office | |||
Risk information | |||
Credit facility, granted by the government | 200,000 | 125,000 | |
Commercial export credits limit for credit facility | 15,000 | ||
Borrowings | kr 10,000 | ||
Liquidity risk | SKR | |||
Risk information | |||
Liquidity Reserve | 30,000 | 27,700 | |
Liquidity risk | EUR | |||
Risk information | |||
Liquidity Reserve | 6,500 | 5,600 | |
Liquidity risk | USD | |||
Risk information | |||
Liquidity Reserve | 14,900 | 7,700 | |
Liquidity risk | Other currencies | |||
Risk information | |||
Liquidity Reserve | 600 | 1,400 | |
Liquidity risk | Securities issued or guaranteed by sovereigns, central banks or multilateral development banks | |||
Risk information | |||
Liquidity Reserve | 35,800 | 18,000 | |
Liquidity risk | Securities issued or guaranteed by sovereigns, central banks or multilateral development banks | SKR | |||
Risk information | |||
Liquidity Reserve | 17,700 | 4,700 | |
Liquidity risk | Securities issued or guaranteed by sovereigns, central banks or multilateral development banks | EUR | |||
Risk information | |||
Liquidity Reserve | 6,500 | 4,800 | |
Liquidity risk | Securities issued or guaranteed by sovereigns, central banks or multilateral development banks | USD | |||
Risk information | |||
Liquidity Reserve | 11,000 | 7,100 | |
Liquidity risk | Securities issued or guaranteed by sovereigns, central banks or multilateral development banks | Other currencies | |||
Risk information | |||
Liquidity Reserve | 600 | 1,400 | |
Liquidity risk | Securities issued or guaranteed by municipalities or other public entities | |||
Risk information | |||
Liquidity Reserve | 8,700 | 13,300 | |
Liquidity risk | Securities issued or guaranteed by municipalities or other public entities | SKR | |||
Risk information | |||
Liquidity Reserve | 4,800 | 11,900 | |
Liquidity risk | Securities issued or guaranteed by municipalities or other public entities | EUR | |||
Risk information | |||
Liquidity Reserve | 800 | ||
Liquidity risk | Securities issued or guaranteed by municipalities or other public entities | USD | |||
Risk information | |||
Liquidity Reserve | 3,900 | 600 | |
Liquidity risk | Covered bonds issued by other institutions | |||
Risk information | |||
Liquidity Reserve | 7,500 | 11,100 | |
Liquidity risk | Covered bonds issued by other institutions | SKR | |||
Risk information | |||
Liquidity Reserve | kr 7,500 | kr 11,100 |
Risk information - Liquidity in
Risk information - Liquidity investments - Remaining maturity (Details) - Liquidity risk | Dec. 31, 2020 | Dec. 31, 2019 |
Within 1 year | ||
Risk information | ||
Percentage of liquidity investments | 86.00% | 84.00% |
Later than one year and not later than three years | ||
Risk information | ||
Percentage of liquidity investments | 14.00% | 16.00% |
Later than three years | ||
Risk information | ||
Percentage of liquidity investments | 0.00% | 0.00% |
Risk information - Key figures
Risk information - Key figures for liquidity risk (Details) | Dec. 31, 2020 | Dec. 31, 2019 |
Risk information | ||
LCR under EU Commission's delegated act | 447.00% | 620.00% |
NSFR | 135.00% | 120.00% |
Liquidity risk | ||
Risk information | ||
LCR under EU Commission's delegated act | 447.00% | 620.00% |
NSFR | 135.00% | 120.00% |
Risk Information - Liquidity _2
Risk Information - Liquidity investments - By exposure type (Details) - Liquidity risk | Dec. 31, 2020 | Dec. 31, 2019 |
States and Multilateral development banks | ||
Risk information | ||
Percentage of liquidity investments | 59.00% | 30.00% |
Local governments | ||
Risk information | ||
Percentage of liquidity investments | 20.00% | 22.00% |
Covered bonds | ||
Risk information | ||
Percentage of liquidity investments | 13.00% | 18.00% |
Financial institutions | ||
Risk information | ||
Percentage of liquidity investments | 8.00% | 26.00% |
Corporates | ||
Risk information | ||
Percentage of liquidity investments | 0.00% | 4.00% |
Risk Information - Liquidity _3
Risk Information - Liquidity investments - By region (Details) - Liquidity risk | Dec. 31, 2020 | Dec. 31, 2019 |
Sweden | ||
Risk information | ||
Percentage of liquidity investments | 44.00% | 39.00% |
North America | ||
Risk information | ||
Percentage of liquidity investments | 3.00% | 10.00% |
West European countries excl. Sweden | ||
Risk information | ||
Percentage of liquidity investments | 43.00% | 34.00% |
Asia excl. Japan | ||
Risk information | ||
Percentage of liquidity investments | 2.00% | 6.00% |
Japan | ||
Risk information | ||
Percentage of liquidity investments | 4.00% | 5.00% |
Middle East/ Africa/Turkey | ||
Risk information | ||
Percentage of liquidity investments | 3.00% | 4.00% |
Australia | ||
Risk information | ||
Percentage of liquidity investments | 1.00% | 2.00% |
Risk information - Contractual
Risk information - Contractual flows (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Risk information | ||
Total financial assets | kr 320,399 | kr 305,065 |
Financial liabilities | (312,857) | (293,073) |
Binding offers | 1,322 | 2,800 |
Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 314,358 | 322,570 |
Financial assets, discounting effect | 6,041 | (17,505) |
Total financial assets | 320,399 | 305,065 |
Financial liabilities, cash flow | (304,119) | (294,604) |
Financial liabilities, discounting effect | (8,738) | 1,531 |
Financial liabilities | (312,857) | (293,073) |
Liquidity surplus (+) / deficit (-) | 56,492 | 27,967 |
Binding offers | kr 1,300 | |
Liquidity risk | Minimum | ||
Risk information | ||
Maturity of cash flow in deficit | 3 months | |
Liquidity risk | Maximum | ||
Risk information | ||
Maturity of cash flow in deficit | 5 years | |
Liquidity risk | Credit facility with the Swedish National Debt Office | ||
Risk information | ||
Additional available funds under credit facility | kr 200,000 | 125,000 |
Credit facility limit for use in CIRR or commercial export financing | 15,000 | |
Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 8,456 | 14,439 |
Financial liabilities, cash flow | (5,750) | (7,272) |
Committed undisbursed loans cash flows | (4) | (7,094) |
Liquidity surplus (+) / deficit (-) | 2,702 | 73 |
Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 32,940 | 42,664 |
Financial liabilities, cash flow | (34,918) | (33,182) |
Committed undisbursed loans cash flows | (2,001) | (1,944) |
Liquidity surplus (+) / deficit (-) | (3,979) | 7,538 |
Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 66,948 | 73,379 |
Financial liabilities, cash flow | (69,748) | (73,789) |
Committed undisbursed loans cash flows | (4,633) | (13,733) |
Liquidity surplus (+) / deficit (-) | (7,433) | (14,143) |
Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 149,719 | 131,520 |
Financial liabilities, cash flow | (176,149) | (158,492) |
Committed undisbursed loans cash flows | (23,833) | (4,652) |
Liquidity surplus (+) / deficit (-) | (50,263) | (31,624) |
More than 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 56,295 | 60,568 |
Financial liabilities, cash flow | (17,554) | (21,869) |
Committed undisbursed loans cash flows | 76,724 | 27,424 |
Liquidity surplus (+) / deficit (-) | 115,465 | 66,123 |
Not later than 3 months / 90 days | Liquidity risk | ||
Risk information | ||
Liquidity surplus (+) / deficit (-) | (1,277) | 7,611 |
Within 1 year | Liquidity risk | ||
Risk information | ||
Liquidity surplus (+) / deficit (-) | (8,710) | (6,532) |
Not later than five years | Liquidity risk | ||
Risk information | ||
Liquidity surplus (+) / deficit (-) | (58,973) | (38,156) |
Cash and cash equivalents | ||
Risk information | ||
Total financial assets | 3,362 | 1,362 |
Cash and cash equivalents | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 2,801 | 651 |
Financial assets, discounting effect | 561 | 711 |
Total financial assets | 3,362 | 1,362 |
Cash and cash equivalents | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 2,801 | 651 |
Treasuries/government bonds | ||
Risk information | ||
Total financial assets | 22,266 | 8,344 |
Treasuries/government bonds | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 22,251 | 8,359 |
Financial assets, discounting effect | 15 | (15) |
Total financial assets | 22,266 | 8,344 |
Treasuries/government bonds | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,697 | |
Treasuries/government bonds | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 10,204 | 1,044 |
Treasuries/government bonds | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 10,857 | 4,289 |
Treasuries/government bonds | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,190 | 1,329 |
Other interest-bearing securities except loans | ||
Risk information | ||
Total financial assets | 33,551 | 53,906 |
Other interest-bearing securities except loans | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 33,631 | 54,300 |
Financial assets, discounting effect | (80) | (394) |
Total financial assets | 33,551 | 53,906 |
Other interest-bearing securities except loans | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,639 | 6,581 |
Other interest-bearing securities except loans | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 6,932 | 12,417 |
Other interest-bearing securities except loans | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 17,975 | 26,399 |
Other interest-bearing securities except loans | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 7,085 | 8,903 |
Loans in the form of interest-bearing securities | ||
Risk information | ||
Total financial assets | 50,780 | 43,627 |
Loans in the form of interest-bearing securities | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 53,683 | 46,664 |
Financial assets, discounting effect | (2,903) | (3,037) |
Total financial assets | 50,780 | 43,627 |
Loans in the form of interest-bearing securities | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 68 | 332 |
Loans in the form of interest-bearing securities | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 6,053 | 1,379 |
Loans in the form of interest-bearing securities | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 3,928 | 6,106 |
Loans in the form of interest-bearing securities | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 31,518 | 26,369 |
Loans in the form of interest-bearing securities | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 12,116 | 12,478 |
Loans to credit institutions | ||
Risk information | ||
Total financial assets | 31,315 | 27,010 |
Loans to credit institutions | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 9,573 | 27,544 |
Financial assets, discounting effect | 21,742 | (534) |
Total financial assets | 31,315 | 27,010 |
Loans to credit institutions | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 66 | 486 |
Loans to credit institutions | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 219 | 17,204 |
Loans to credit institutions | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 3,437 | 1,928 |
Loans to credit institutions | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 4,685 | 6,334 |
Loans to credit institutions | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,166 | 1,592 |
Loans to the public | ||
Risk information | ||
Total financial assets | 171,562 | 163,848 |
Loans to the public | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 185,430 | 178,697 |
Financial assets, discounting effect | (13,868) | (14,849) |
Total financial assets | 171,562 | 163,848 |
Loans to the public | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 3,798 | 4,583 |
Loans to the public | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 8,998 | 10,054 |
Loans to the public | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 29,475 | 33,443 |
Loans to the public | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 102,065 | 86,241 |
Loans to the public | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 41,094 | 44,376 |
Derivatives | ||
Risk information | ||
Total financial assets | 7,563 | 6,968 |
Derivatives | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 6,989 | 6,355 |
Financial assets, discounting effect | 574 | 613 |
Total financial assets | 7,563 | 6,968 |
Derivatives | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 84 | 109 |
Derivatives | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 534 | 566 |
Derivatives | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,276 | 1,214 |
Derivatives | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 3,176 | 2,344 |
Derivatives | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,919 | 2,122 |
Derivatives | Hedging instrument | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 2,102 | 1,450 |
Financial assets, discounting effect | 1,213 | 1,171 |
Total financial assets | 3,315 | 2,621 |
Derivatives | Hedging instrument | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | (6) | (8) |
Derivatives | Hedging instrument | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 49 | 21 |
Derivatives | Hedging instrument | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 353 | 432 |
Derivatives | Hedging instrument | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 1,074 | 372 |
Derivatives | Hedging instrument | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial assets, cash flow | 632 | 633 |
Borrowing from credit institutions | ||
Risk information | ||
Financial liabilities | (3,486) | (3,678) |
Borrowing from credit institutions | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (1,942) | (3,690) |
Financial liabilities, discounting effect | (1,544) | 12 |
Financial liabilities | (3,486) | (3,678) |
Borrowing from credit institutions | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (58) | (10) |
Borrowing from credit institutions | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (147) | (3,680) |
Borrowing from credit institutions | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (518) | |
Borrowing from credit institutions | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (1,151) | |
Borrowing from credit institutions | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (68) | |
Borrowing from the public | ||
Risk information | ||
Financial liabilities | (10,000) | |
Borrowing from the public | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (10,005) | |
Financial liabilities, discounting effect | 5 | |
Financial liabilities | (10,000) | |
Borrowing from the public | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (2) | |
Borrowing from the public | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (4) | |
Borrowing from the public | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (9,999) | |
Debt securities issued | ||
Risk information | ||
Financial liabilities | (273,976) | (269,339) |
Debt securities issued | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (280,674) | (283,861) |
Financial liabilities, discounting effect | 6,698 | 14,522 |
Financial liabilities | (273,976) | (269,339) |
Debt securities issued | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (4,486) | (6,284) |
Debt securities issued | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (31,436) | (27,985) |
Debt securities issued | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (64,938) | (72,297) |
Debt securities issued | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (162,367) | (155,386) |
Debt securities issued | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (17,447) | (21,909) |
Derivatives | ||
Risk information | ||
Financial liabilities | (25,395) | (20,056) |
Derivatives | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (11,498) | (7,053) |
Financial liabilities, discounting effect | (13,897) | (13,003) |
Financial liabilities | (25,395) | (20,056) |
Derivatives | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (1,206) | (978) |
Derivatives | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (3,333) | (1,517) |
Derivatives | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (4,288) | (1,492) |
Derivatives | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (2,632) | (3,106) |
Derivatives | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (39) | 40 |
Derivatives | Hedging instrument | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (722) | (1,960) |
Financial liabilities, discounting effect | 248 | (1,177) |
Financial liabilities | (474) | (3,137) |
Derivatives | Hedging instrument | Not later than one month | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (8) | (8) |
Derivatives | Hedging instrument | Later than one month and not later than three months | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (26) | 30 |
Derivatives | Hedging instrument | Later than three months and not later than one year | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (143) | (747) |
Derivatives | Hedging instrument | Between 1 and 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | (567) | (1,096) |
Derivatives | Hedging instrument | More than 5 years | Liquidity risk | ||
Risk information | ||
Financial liabilities, cash flow | kr 22 | kr (139) |
Transactions with related par_3
Transactions with related parties (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Transactions with related parties | ||
Borrowings | kr 287,462 | kr 273,017 |
Swedish government | ||
Transactions with related parties | ||
Ownership interest in reporting company | 100.00% | |
Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Percentage of company's outstanding loan guaranteed | 39.00% | 38.00% |
EKN | ||
Transactions with related parties | ||
Remuneration to EKN for the guarantees paid | kr 26 | kr 0 |
Credit facility with the Swedish National Debt Office | Swedish National Debt Office | ||
Transactions with related parties | ||
Credit facility, granted by the government | 200,000 | |
Commercial export credits limit for credit facility | 15,000 | |
Borrowings | kr 10,000 |
Transactions with related par_4
Transactions with related parties - Summarizes Consolidated Group's transactions with related parties (Details) - SEK (kr) kr in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Transactions with related parties | ||
Assets | kr 30,165 | kr 18,335 |
Liabilities | 10,095 | 24 |
Interest income | 84 | 173 |
Interest expense | 10 | |
Swedish government | ||
Transactions with related parties | ||
Assets | 24,432 | 11,315 |
Liabilities | 10,095 | 24 |
Interest income | (21) | 16 |
Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Assets | 5,733 | 7,020 |
Interest income | 105 | 157 |
Interest expense | 10 | |
Borrowing from the public | ||
Transactions with related parties | ||
Liabilities | 10,000 | |
Interest expense | 10 | |
Borrowing from the public | Swedish government | ||
Transactions with related parties | ||
Liabilities | 10,000 | |
Other liabilities | ||
Transactions with related parties | ||
Liabilities | 95 | 24 |
Other liabilities | Swedish government | ||
Transactions with related parties | ||
Liabilities | 95 | 24 |
Other liabilities | Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Interest expense | 10 | |
Cash | ||
Transactions with related parties | ||
Assets | 2,500 | |
Cash | Swedish government | ||
Transactions with related parties | ||
Assets | 2,500 | |
Treasuries/government bonds | ||
Transactions with related parties | ||
Assets | 9,573 | 2,191 |
Interest income | (21) | 16 |
Treasuries/government bonds | Swedish government | ||
Transactions with related parties | ||
Assets | 9,573 | 2,191 |
Interest income | (21) | 16 |
Treasuries/government bonds | Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Interest income | 0 | |
Other interest-bearing securities except loans | ||
Transactions with related parties | ||
Assets | 600 | |
Interest income | 2 | (4) |
Other interest-bearing securities except loans | Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Assets | 600 | |
Interest income | 2 | (4) |
Loans in the form of interest-bearing securities | ||
Transactions with related parties | ||
Assets | 2,600 | 1,699 |
Interest income | 31 | 21 |
Loans in the form of interest-bearing securities | Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Assets | 2,600 | 1,699 |
Interest income | 31 | 21 |
Loans to credit institutions | ||
Transactions with related parties | ||
Assets | 2,108 | 2,665 |
Interest income | 45 | 87 |
Loans to credit institutions | Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Assets | 2,108 | 2,665 |
Interest income | 45 | 87 |
Loans to the public | ||
Transactions with related parties | ||
Assets | 1,025 | 2,056 |
Interest income | 27 | 53 |
Loans to the public | Companies and organizations that are controlled through a common owner | ||
Transactions with related parties | ||
Assets | 1,025 | 2,056 |
Interest income | 27 | 53 |
Settlement claim against the State | ||
Transactions with related parties | ||
Assets | 12,359 | 9,124 |
Settlement claim against the State | Swedish government | ||
Transactions with related parties | ||
Assets | kr 12,359 | kr 9,124 |
Events after the reporting pe_2
Events after the reporting period (Details) - SEK (kr) kr in Billions | Jan. 15, 2021 | Dec. 31, 2020 | Feb. 28, 2021 |
Catrin Fransson, Chief Executive Officer (CEO) | |||
Events after the reporting period | |||
Notice period | 6 months | ||
Organizational changes | Catrin Fransson, Chief Executive Officer (CEO) | |||
Events after the reporting period | |||
Notice period | 6 months | ||
Extension of credit facility | |||
Events after the reporting period | |||
Credit facility, granted by the government | kr 200 |
Risk and capital management (De
Risk and capital management (Details) kr in Billions | 12 Months Ended | 36 Months Ended | |||
Dec. 31, 2020SEK (kr)item | Dec. 31, 2019SEK (kr) | Dec. 31, 2023SEK (kr) | Mar. 16, 2020 | Mar. 15, 2020 | |
Risk and capital management | |||||
Increase (decrease) in GDP | (4.30%) | ||||
Capital ratio | 21.80% | 20.60% | |||
Tier 1 capital ratio | 21.80% | 20.60% | |||
Common Equity Tier 1 capital ratio | 21.80% | 20.60% | |||
Leverage ratio | 5.80% | 5.70% | |||
Minimum requirement for own funds and eligible liabilities (MREL) | 7.00% | 7.20% | |||
New lending capacity | 3 months | 5 months | |||
LCR | 447.00% | 620.00% | |||
NSFR | 135.00% | 120.00% | |||
Total capital ratio requirement | 14.70% | 16.40% | |||
Common Equity Tier I requirement | 9.80% | 11.50% | |||
Reduction in capital requirements percentage | 1.80% | ||||
Number of lines of defense for risk management and risk control | item | 3 | ||||
Period for capital adequacy assessments | 3 years | ||||
Time horizon for probability distribution of value of credit portfolio | 1 year | ||||
Maximum | |||||
Risk and capital management | |||||
Total capital ratio excess over capital adequacy requirement, target | 4.00% | ||||
Minimum | |||||
Risk and capital management | |||||
Senior non-preferred debt to be issued | kr 12 | ||||
Total capital ratio excess over capital adequacy requirement, target | 2.00% | ||||
Common Equity Tier I ratio excess over capital adequacy requirement, target | 4.00% | ||||
Sweden | |||||
Risk and capital management | |||||
Increase (decrease) in GDP | (2.80%) | ||||
Countercyclical buffer rate applied to exposures | 0.00% | 0.00% | 2.50% | ||
Credit risk | |||||
Risk and capital management | |||||
Risk (in terms of allocated capital) | kr 6.1 | kr 7.3 | |||
Confidence level for VAR calculation | 99.90% | ||||
Market risk | |||||
Risk and capital management | |||||
Risk (in terms of allocated capital) | kr 1.1 | 1.1 | |||
Confidence level for VAR calculation | 99.00% | ||||
Operational risk | |||||
Risk and capital management | |||||
Risk (in terms of allocated capital) | kr 0.2 | kr 0.2 |
Risk and capital management - R
Risk and capital management - Risk descriptions (Details) | Dec. 31, 2020 |
Credit risk | |
Risk and capital management | |
Proportion of economic capital | 58.40% |
Market risk | |
Risk and capital management | |
Proportion of economic capital | 10.90% |
Operational risk | |
Risk and capital management | |
Proportion of economic capital | 1.90% |