The Swedish government last Thursday (31 December 2009) bid farewell to its six-month rotating European Union (EU) presidency. The turbulent era of the Czech presidency, which infamously included the collapse of the government and the Eurosceptic stance of the country's head of state, Vaclav Klaus, was brought to an abrupt halt by the Swedish time at the helm, which has brought so-called "Nordic coolness and efficiency" to the European Council.

Mission Accomplished

During its six-month term, Sweden had to tackle a plethora of EU-wide issues: the economic crisis, ratification of the EU Reform Treaty and the subsequent in-fighting between member states on the bloc's top jobs, and issues over future expansion of the EU.

The ratification of the EU Reform Treaty (commonly referred to as the Lisbon Treaty) was a major headache for the EU and its Swedish presidency. The treaty, which extends the powers of the European Parliament, strengthens the bloc's diplomatic role, and introduces a stronger executive, has been a pivotal issue to facilitate the bloc's institutional reform and strategy over the coming years. Nevertheless, the future of the reform had been in jeopardy. Despite the positive outcome of a crucial second referendum of the Irish voters, who gave the green light to the document in September 2009, the final stumbling block came in the form of Czech president Vaclav Klaus, who tabled fresh demands in order to ratify the document. Among other things, the notoriously Eurosceptic Klaus requested a protocol—or an opt-out—to be added to the EU Charter on Fundamental Rights, in order to prevent ethnic Germans and their families from reclaiming property they owned prior to their expulsion from Czechoslovakia in 1945. It was specifically this request that caused headaches for Swedish prime minister and EU rotating president Fredrik Reinfeldt: Klaus' demands were likely to prompt other EU states to make similar requests, thus causing further delays, or even scrapping the document as a whole. Following the pro-treaty decision of the Czech Constitutional Court, Klaus involuntarily swallowed his pride and signed the document, which then came to force on 1 December 2009. The EU officials breathed a sigh of relief, and Sweden scored a major diplomatic victory.

After the Czech signature had been secured, Sweden's mediating skills were tested once more in reaching an agreement on the bloc's top jobs, which the EU Reform Treaty created; these included a standing president of the European Council and a high representative for foreign policy, which would also be a vice-president of the European Commission. In the first weeks of negotiations, the task seemed impossible. Reinfeldt had been under pressure from EU officials to secure appointment of the suitable candidates immediately; nevertheless, he also tried to prevent what was expected to become the so-called Franco-German deal on who would get the top positions. The deal, which was reached on 19 November 2009, saw Belgian prime minister Herman Van Rompuy become the first "permanent" chairman of the EU, and British Catherine Ashton secure the post of EU foreign minister. Proving that it is impossible to satisfy everyone, even these nominations met with criticism as being rather bland. Nonetheless, nothing could dampen the Swedish diplomatic victory of ushering in a new era for EU institutions and politics.

Amid the global economic downturn, the European economy has been a key preoccupation of the EU and its member states. During the first days of the presidency, Reinfeldt expressed his wish to put the EU's battered public finances back on track, mainly concentrating on tightening supervision of the financial system and finding early exit strategies for the massive stimulus packages launched in several states. Although sustained economic recovery is still some way off, Sweden did manage to secure agreement among member states on the need for increased and more efficient financial supervision. Apart from the joint European Systematic Risk Board, which was set up to monitor the stability of the financial system as a whole, there are now three new supervisory bodies: the European Banking Authority, the European Insurance and Occupational Pensions Authority, and the European Securities and Markets Authority.

Stumbling Block of Climate Change

In spite of its promising predisposition and strong pro-environmental credentials, the Swedish presidency did not bring the expected results from the widely monitored Copenhagen summit on climate change. Despite its pledge to make the EU speak with one voice and build the momentum behind a global deal, the results have been less than impressive. An EU offer—perceived rather disappointingly by developing countries and various pro-environmental organisations—was tabled only hours before the start of the two-week summit in Copenhagen. The most difficult task proved to be getting Eastern European members on board, as these newest additions to the EU insisted that the richer members should financially contribute to the high costs of moving away from fossil-fuel based economies. Nevertheless, despite this setback, Sweden has emphasised the importance of future efforts on the eco-efficient economy in the upcoming years.

Outlook and Implications

As was predicted, Sweden has taken on the EU presidency at a time of key juncture with a sense of realism and Nordic coolness. Six months is a relatively short period in which to secure significant changes in the ongoing system: in this respect, Sweden deserves respect for its efforts and achievements. Amid the turbulent worldwide economic crisis, and at a time when the EU faced one of the major institutional changes in its history, Sweden managed to oversee the task well. Promoting a pro-transparency stance, Sweden's six-month leadership paved the way for a new growth strategy for the EU in the upcoming years. According to Reinfeldt, the new rotating presidents should focus on stronger competitiveness, increased investment in research and education, employment issues and a high level of labour supply, and long-term sustainable public finances. Although not completely achieving all the goals it set out to in July, Sweden's presidency proved that capable handling of the economic issues and institutional reform could produce positive results, while putting to shame the shambles that other countries have made of the presidency in the past.

Global Insight (Reino Unido)