"Even if the Nordic region stands out as a more stable part of Europe, most countries still face declining economic growth," Nordea Chief Executive Christian Clausen said.

"The lower activity level is gradually reducing consumption and investments, which means that the demand for loans and other banking services in the Nordic market is low."

Swedbank said the macroeconomic outlook remained uncertain in Europe, where a sovereign debt crisis has weighed heavily on the economy and jarred banks across the region.

"The second quarter was characterised more by the European debt crisis and its effects on the economy. In Sweden, we had signs that we are going to get lower economic activity, and there is less confidence in a rebound," CEO Michael Wolf told journalists on a call, Reuters said.