Revolut is reportedly preparing to open a new branch in Stockholm this year as part of its strategy to strengthen its presence across the Nordic region and compete directly with Klarna.

According to Retail Banker International, the UK-based digital bank aims to grow its Nordic customer base from two million to three million by the end of next year, with Sweden accounting for roughly half of its regional users.

The expansion not only positions Revolut against Klarna but also challenges established Nordic banks that currently dominate household deposits, said Antoine Le Nel, Revolut’s Chief Growth Officer.

The forthcoming Stockholm branch will operate under Revolut’s European banking license, issued in Lithuania, allowing it to provide Swedish International Bank Account Numbers (IBANs).

This will enable customers to receive salaries, set up direct debits, and process local transfers directly through their Revolut accounts.

Revolut also plans to introduce new offerings in the region, including daily-interest savings accounts in Nordic currencies, commission-free exchange-traded fund (ETF) investing, and Apple’s tap-to-pay functionality for small businesses.

The company has already begun recruitment efforts across Sweden, Finland, Norway, and Denmark, while bolstering its compliance, operations, and risk management teams to support regional expansion.

In an interview, Le Nel stated:

“Our true competitors are the local, traditional banks. Then there are obviously some very strong buy-now-pay-later players. But it’s a bit more niche versus the full breadth of activities that we’re offering.”

Klarna currently serves around 80% of Sweden’s population and has 110 million users globally, with a market valuation nearing US$14 billion.

Revolut, which has approximately 65 million users worldwide, aims to reach 100 million within the next two years.

The company is also pursuing a US$75 billion valuation as it concludes its latest fundraising round.

Its operations now span 40 markets, with ambitions to expand to 70 by 2030.

In its home market, Revolut continues to face delays in securing a UK banking license amid regulatory concerns over its risk management capabilities as it scales globally.

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