Sweden has taken over the presidency of the Council of the EU. Here are its priorities
For the third time since joining the European Union, Sweden takes over the rotating presidency of the EU Council, one of the bloc’s co-legislators.
In the coming six months, the Nordic country will be tasked with setting the political agenda and steering the debate among the member states, a hard job that has become even more difficult in the midst of more and more crises.
The new right coalition governmentwhich consists of three parties and is led by Prime Minister Ulf Kristersson, has pledged to uphold the bloc’s fundamental rights and uphold the political unity created in the wake of Russia’s invasion of Ukraine.
But supports the extreme right The Sweden Democrats Loans to the minority coalition have cast a shadow over the inauguration of the presidency, with experts and diplomats wondering how much the Eurosceptic party will assert itself at EU level.
Stockholm insists that the Sweden Democrats are not part of the government and that the confidence and supply agreement focuses on domestic issues, not EU politics.
“The Swedish presidency will be active and offer constructive leadership to deepen the EU’s strengths and find compromises,” says Kristersson. told the national parliamentRiksdag, last month when he presented his government’s program.
“We will protect common European interests, and be humble before the diversity of the member states.”
Among the many challenges and difficulties that characterize the bloc, Sweden has chosen four overarching topics as main priorities for its six-month presidency: security, competitiveness, energy and democratic values.
When it comes to security, Stockholm wants to ensure that EU countries maintain – or even intensify – economic and military support for Ukraine. Brussels is under pressure to keep its promises after failing to deliver a whopping 9 billion euros in financial aid promised to Kyiv in 2022.
For 2023, the EU is expected to pay out €18 billion on a regular basis, money that is crucial to cover Ukraine’s huge budget deficit and maintain the most basic public services.
In addition, Sweden will lead the discussion on the complex issue of confiscation: The EU intends to sell and reinvest the Russian-owned assets that have been frozen under nine rounds of sanctions to raise extra funds for the reconstruction of Ukraine.
But the idea, which could potentially target the 300 billion euros of international reserves held by the Russian central bank, is deeply complex and faces a myriad of legal and practical hurdles.
Competitiveness will also be high on Sweden’s agenda.
The need to preserve Europe as an attractive destination for foreign investment has taken on an almost existential dimension after US President Joe Biden signed the Inflation Reduction Act, which will inject $369bn (€349bn) of green subsidies into the US economy .
The action, which favors American-made products, has been met strong condemnation in Europe and raised fears of a transatlantic trade war.
Some EU leaders, such as French President Emmanuel Macron and Italian Prime Minister Giorgia Meloni, are pushing for a strong pushback, calling for an overhaul of the bloc’s decades-long state aid rules, which are meant to ensure fair competition between small and large member states.
Sweden, a staunch advocate of free markets, has taken a more cautious approach to the hot-button issue.
“Protectionism is not the right way to go. It wasn’t yesterday, and it won’t be tomorrow – on this side of the Atlantic or others,” Kristersson told parliament.
“We know that innovative companies in a free and open market not only generate growth and prosperity, but also lead the green and digital transitions,” he added. “But in fact the EU is lagging behind. Clear competition policy and better rules for European industry are therefore necessary.”
Watch the video above to learn more about Sweden’s political priorities.