Sweden Witnesses ‘Reverse Migration’ Phenomenon

Swedish Language Learning and Social Integration Training Center for New Immigrants and Refugees (Getty Images)
Swedish Language Learning and Social Integration Training Center for New Immigrants and Refugees (Getty Images)
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Sweden Witnesses ‘Reverse Migration’ Phenomenon

Swedish Language Learning and Social Integration Training Center for New Immigrants and Refugees (Getty Images)
Swedish Language Learning and Social Integration Training Center for New Immigrants and Refugees (Getty Images)

Azza, aged 35, arrived in Sweden 11 years ago to join her husband through family reunification programs. She dedicated much effort to learning Swedish, getting her university degree recognized, and taking extra courses to re-enter the nursing field.

She described her time in Sweden as “a dream come true, unlike anywhere else in the world.”

“The opportunities Sweden offers are unmatched for those who know how to make the most of them,” Azza told Asharq Al-Awsat.

“What the country provides here cannot be compared to any other place, which is why we chose Sweden,” she added.

Despite her success, Azza is now planning to move back to Saudi Arabia, where she was born and raised in a Syrian family.

Reflecting on her decision, she said: “Initially, we focused on starting anew, but we eventually missed social connections.”

“The relationship between locals and newcomers is challenging, especially for someone like me,” added Azza.

“Here, social life feels muted, lacking interaction and acceptance. Swedish society values individualism, while we as immigrants often prioritize community ties and socializing,” she explained.

Evolving the Concept of Integration

In the past, Sweden aimed to integrate waves of immigrants, encouraging them to adopt the host society's norms while setting aside their own cultural and community traits. This approach was particularly felt by Iraqis arriving after 2003.

Today, the focus has shifted to celebrating cultural diversity and promoting a multicultural society. The aim is for immigrants to maintain their identities while gaining equal economic, social, and political opportunities in Sweden.

However, this shift has drawbacks, potentially isolating immigrants within closed circles.

According to Azza, immigrants can feel “trapped” because Swedish citizens often rely on state programs for integration, which she finds disappointing in their outcomes.

Meanwhile, the issue of integration is a contentious topic in media and political circles, particularly as far-right parties gain influence across several European nations, not just in Sweden.

“We’re blamed for the isolation we face here, as well as unemployment, and a host of economic, social, psychological, cultural, and health issues resulting from integration failures,” noted Azza.

“We've become a political pawn for right-wing parties,” she added.

“We’re living in the moment, trying to combat isolation and depression through yoga, long forest walks, indoor running, or attending mostly lackluster music events, all documented on social media to convince ourselves we’re okay and to find a glimmer of hope,” complained Azza.

Azza is not alone in Sweden. “Reverse migration” has become a notable trend, especially among immigrants and refugees.

Swedish national statistics show that in 2022, 50,592 migrants left the country, including 37% of those born in Sweden to Swedish parents, for various reasons.

By the end of 2023, more than 66,000 people had emigrated from Sweden, a worrying trend alongside a sharp decline in birth rates that has led to the lowest population growth since 2001.

Engineer Amer Baroudi, who moved to a Gulf country two years ago after living in Sweden with his family for eight years, shared his experience of reverse migration.

He found the move more suitable for his family, especially in terms of social security and raising children according to Arab values.

Baroudi explains that one of the main reasons for leaving Sweden was the rise of the far-right and their influence on immigration policies, which increasingly hindered integration efforts.

He described escalating racist rhetoric in both official and social settings, affecting workplaces and indicating institutional racism.

“Immigrants are often treated as second-class citizens, facing accusations of disloyalty to Sweden and threats of citizenship revocation,” Baroudi told Asharq Al-Awsat.

“There’s talk of creating security zones where police can search immigrants and their children in public without cause,” he revealed.

Baroudi also highlighted the negative portrayal of social welfare services and the absence of official explanations for their role amidst growing anti-immigrant sentiment on social media.

Recent fears among immigrants, especially Muslims, of incidents labeled as “child kidnappings,” have led many to consider leaving Sweden or seeking other options.

A Swedish institution, established in the early 1990s, holds broad powers that sometimes override court decisions, allowing it to remove children from families if they face abuse or if their home environment is deemed unsafe due to issues like domestic violence, drug abuse, or other dangers.

In the past five years, there has been a peak in children being taken away, mostly from immigrant backgrounds, and placed in state care or with foster families.

The institution claims it does not target immigrants specifically but operates based on circumstances, leading to higher numbers from certain groups.

The handling of crises within social services has been notable for employee misconduct, secrecy, and delayed transparency from authorities, framing issues solely in terms of Sweden’s security concerns and deepening societal divides.

Media reports revealed that in 2022, 200 out of 240 removed children were involved in crime, including incidents within care homes, highlighting how marginalized children become vulnerable to exploitation by organized crime.

This trend is evident in rising gang activities, violent crimes, and shootings in immigrant areas, reinforcing stereotypes and fueling populist rhetoric against immigrants.

Due to mistrust and a divisive narrative, immigrant families often do not engage in state efforts to prevent child recruitment, perpetuating a cycle of marginalization and discrimination.

Ultimately, many like Baroudi choose to leave, feeling alienated and stressed, describing life as an escape from a large prison where they do not feel they belong.



Some European Firms Retreat from Israel-Linked Finance amid War Pressure

 An Israeli national flag flies over a city highway during rush hour, amid the ongoing conflict in Gaza between Israel and Hamas, in Tel Aviv, Israel, November 4, 2024. (Reuters)
An Israeli national flag flies over a city highway during rush hour, amid the ongoing conflict in Gaza between Israel and Hamas, in Tel Aviv, Israel, November 4, 2024. (Reuters)
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Some European Firms Retreat from Israel-Linked Finance amid War Pressure

 An Israeli national flag flies over a city highway during rush hour, amid the ongoing conflict in Gaza between Israel and Hamas, in Tel Aviv, Israel, November 4, 2024. (Reuters)
An Israeli national flag flies over a city highway during rush hour, amid the ongoing conflict in Gaza between Israel and Hamas, in Tel Aviv, Israel, November 4, 2024. (Reuters)

Several of Europe's biggest financial firms have cut back their links to Israeli companies or those with ties to the country, a Reuters analysis of filings shows, as pressure mounts from activists and governments to end the war in Gaza.

While banks and insurers are often vocal about their environmental and governance aims, they are less forthcoming about disclosing their potential exposure to war.

UniCredit put Israel on a "forbidden" list as the conflict escalated in October last year, said a source familiar with the matter, confirming a study by Dutch NGO PAX.

While in line with the Italian bank's defense-sector policy of not directly financing arms exports to any country involved in conflict, it goes beyond Italy's guidelines on arms exports to Israel.

UniCredit declined to comment on its move and the Israeli finance ministry also declined to comment.

Meanwhile, Norwegian asset manager Storebrand and French insurer AXA have sold shares of some Israeli firms, including banks.

Although corporate filings offer only a glimpse into such exposures, they show companies have been readjusting.

"We don't know whether this represents the beginning of a shift in the industry, one that recognizes the power banks have in choosing where to allocate capital, and where not," said Martin Rohner, executive director at the Global Alliance for Banking on Values, which focuses on sustainable financing.

"Investing in the production and trade of weapons is fundamentally opposed to the principles of sustainable development," Rohner added.

Israeli Finance Minister Bezalel Smotrich told a press briefing last week that although there are challenges to Israel's economy, firms are still raising money. "I sit with foreign investors and they believe in our economy," he said.

Reuters has reported that Israel's investor base has narrowed since it entered Gaza last year in response to attacks by Hamas, and it is feeling the effects of rising borrowing costs.

The potential wider effects can be seen in the approach taken by Storebrand, which a filing showed divested a holding worth about $24 million in Palantir, citing the risk of violations of international humanitarian law and human rights.

US group Palantir, which provides technology to Israel's military, did not respond to a request for comment.

Storebrand's annual investment review said that, as of the end of 2023, it had excluded 24 firms, including Israeli companies, across its portfolios in relation to the occupation of Palestinian territories.

The International Court of Justice, the United Nations' highest court, ruled in January of plausible risk of irreparable harm to Palestinian rights to be protected from genocide.

The same court said in July that Israel's occupation of Palestinian territories including the settlements is illegal.

Israel has rejected the rulings, which combined with growing pressure from activists and governments, are nevertheless having an impact on investment decisions.

AXA, one of Europe's largest insurers, British bank Barclays and German insurer Allianz have increasingly been targeted by campaigners.

"Increasing demand for greater transparency and scrutiny can only mean that financial institutions will intensify and broaden their self-assessment of their commercial associations with arms-related businesses or states," said David Kinley, professor and chair of human rights law at the Sydney law school.

The Ireland Strategic Investment Fund (ISIF) has exited six Israeli companies, selling holdings which amounted to about 3 million euros ($3.26 million), including some of Israel's largest banks, a spokesperson told Reuters.

Earlier this year, the 15-billion-euro Irish fund said that the risk profile of such investments were no longer within its investment parameters.

And Norway's $1.8 trillion wealth fund, the world's biggest, may divest shares of companies that aid Israel's operations in the occupied Palestinian territories which violate its ethics standards for businesses.

WAR EXPOSURE

Investments in Israeli banks are also under scrutiny.

The UN included them in 2020 in a list of companies with ties to settlements in the occupied Palestinian territories as part of its mission to review the implications on Palestinian rights.

A study by research firm Profundo, commissioned by corporate watchdog Ekō, shows that AXA sold almost all of its holdings in Israeli banks stocks earlier this year, retaining only a marginal stake in Bank Leumi.

Reuters verified the data with LSEG. A representative for Bank Leumi did not respond to a request for comment.

A spokesperson for AXA declined to comment on whether AXA had cut its holdings, adding that it is not invested in the banks targeted by activists. The UN list is among the criteria AXA takes into account for investment decisions, they added.

'A CLEAR LINE'

Foreign direct investment into Israel fell by 29% in 2023 to its lowest since 2016, UN Trade and Development data shows.

While UNCTAD 2024 figures are not available, credit ratings agencies have flagged the war's unpredictable impact on investment in Israel as a concern.

Although the US remains Israel's biggest military and financial backer, Spain, Ireland and Norway have recognized a Palestinian state, French President Emmanuel Macron has called for an arms export halt and Britain has suspended some licenses.

When it comes to international politics, "it should be down to the governments to take a clear line," said Richard Portes, professor of economics at London Business School, adding: "To put the burden on the private firms, where does this end?"

In an example of how activists are targeting companies directly, Barclays came under pressure from a campaign in Britain, prompting it to withdraw sponsorship from summer music festivals, while the Financial Times reported in August that it considered pulling out of an Israeli government bond sale.

Barclays said in a statement that it remained "fully committed" to its role as a primary dealer and that such activities fluctuated each quarter. The bank fell out of the top five dealers of Israeli bonds in the second and third quarters, after ranking third in 2023.