Sweden’s Life Science Sector Shows Strong Growth Amid Funding Challenges

Sweden's life science sector continues to be a significant growth engine, contributing both economic and societal benefits, according to Vinnova's latest annual report. In 2023, the sector generated 508 billion SEK in revenue, employed over 53,000 people, and accounted for 7-11% of the country's total exports since 2009. Notably, women's representation in leadership has grown from 39% to 46% over eight years, surpassing the Swedish corporate average. Despite these achievements, access to venture capital remains a critical challenge. Only 0.7% of total venture capital was invested in unlisted Swedish life science companies last year. Mattias Gäreskog of Business Sweden noted that post-pandemic caution among investors has hindered growth, suggesting increased participation in international forums to attract more funding, with Sweden planning engagement at the upcoming Bio International conference.

Meanwhile, research funding continues to support health innovation, with the Swedish Research Council awarding significant grants to institutions like Umeå University. The university secured 71.85 million SEK for 14 health projects, maintaining its fifth-place funding rank in Sweden. This support complements the sector's larger growth trajectory and highlights ongoing investment in scientific advancement tied to education, natural sciences, and medicine.

Darja Isaksson, Director General of Vinnova, emphasized that life science’s impact extends beyond health to drive technological development and increase export revenues, reinforcing its strategic importance for Sweden’s economy and society.