Swedish Companies Continue to Invest in the Baltic

States with a Positive Outlook

Swedish companies operating in Estonia, Latvia and Lithuania remain profitable and

continue to view the Baltic states as attractive markets for investment and growth. This

according to the newly released Baltic Business Climate Survey 2026, conducted by the

Swedish Embassies in Estonia, Latvia and Lithuania together with the Stockholm School

of Economics in Riga.

The survey shows strong business performance across the region. While companies remain

cautious amid continued geopolitical and economic uncertainty, investment intentions remain

positive, with 82% of respondents planning to increase or maintain investments during the

next 12 months.

The survey confirms that the Baltic states remain attractive locations to do business for

Swedish companies. At the same time, access to skilled labour remains a common challenge

across all three countries. Continued investment in skills and talent will be important for

maintaining competitiveness and supporting future growth, says Kata Fredheim, Executive

Vice President at Stockholm School of Economics in Riga.

The survey also reveals important differences between the three markets. Estonia continues to

lead on digitalisation and corporate tax satisfaction, Lithuania receives the highest ratings for

the quality of work culture and physical infrastructure, while Latvia has recorded significant

improvements in administrative conditions.

Access to skilled labour remains the most significant challenge across all three countries.

Respondents consistently identified the need for stronger technical and vocational education,

easier access to international talent, and continued investment in energy, transport and digital

infrastructure. Stable taxation, predictable regulation and simpler administrative procedures

were also recurring priorities.

Geopolitical developments continue to affect businesses unevenly. While sectors such as

defence, energy, healthcare and mining have benefitted from changing market conditions,

other industries have experienced increased costs and weaker demand. Customer demand,

energy prices and raw material costs were identified as the primary channels through which

geopolitical events impact business performance. The survey concludes that Swedish

companies continue to regard Estonia, Latvia and Lithuania as attractive markets for long-

term operations.

About the Baltic Business Climate Survey 2026

The survey was conducted jointly by the Swedish Embassies in Estonia, Latvia and Lithuania

and the Stockholm School of Economics in Riga, with support from SAAB, SEB and Stena

Line.

Further information: https://www.sseriga.edu/baltic-business-climate-survey-2026

Press contacts:

• Kata Fredheim (Stockholm School of Economics Riga): [email protected]

• Liina Ludvig (Embassy of Sweden in Tallinn): [email protected]

Published: 26 October 2026

Swedish Companies Continue to Invest in the Baltic

States with a Positive Outlook

Swedish companies operating in Estonia, Latvia and Lithuania remain profitable and

continue to view the Baltic states as attractive markets for investment and growth. This

according to the newly released Baltic Business Climate Survey 2026, conducted by the

Swedish Embassies in Estonia, Latvia and Lithuania together with the Stockholm School

of Economics in Riga.

The survey shows strong business performance across the region. While companies remain

cautious amid continued geopolitical and economic uncertainty, investment intentions remain

positive, with 82% of respondents planning to increase or maintain investments during the

next 12 months.

The survey confirms that the Baltic states remain attractive locations to do business for

Swedish companies. At the same time, access to skilled labour remains a common challenge

across all three countries. Continued investment in skills and talent will be important for

maintaining competitiveness and supporting future growth, says Kata Fredheim, Executive

Vice President at Stockholm School of Economics in Riga.

The survey also reveals important differences between the three markets. Estonia continues to

lead on digitalisation and corporate tax satisfaction, Lithuania receives the highest ratings for

the quality of work culture and physical infrastructure, while Latvia has recorded significant

improvements in administrative conditions.

Access to skilled labour remains the most significant challenge across all three countries.

Respondents consistently identified the need for stronger technical and vocational education,

easier access to international talent, and continued investment in energy, transport and digital

infrastructure. Stable taxation, predictable regulation and simpler administrative procedures

were also recurring priorities.

Geopolitical developments continue to affect businesses unevenly. While sectors such as

defence, energy, healthcare and mining have benefitted from changing market conditions,

other industries have experienced increased costs and weaker demand. Customer demand,

energy prices and raw material costs were identified as the primary channels through which

geopolitical events impact business performance. The survey concludes that Swedish

companies continue to regard Estonia, Latvia and Lithuania as attractive markets for long-

term operations.

About the Baltic Business Climate Survey 2026

The survey was conducted jointly by the Swedish Embassies in Estonia, Latvia and Lithuania

and the Stockholm School of Economics in Riga, with support from SAAB, SEB and Stena

Line.

Further information: https://www.sseriga.edu/baltic-business-climate-survey-2026

Press contacts:

• Kata Fredheim (Stockholm School of Economics Riga): [email protected]

• Liina Ludvig (Embassy of Sweden in Tallinn): [email protected]

Published: 26 October 2026