All four major banks posted better-than-expected earnings. But the new finance market minister says they make "too easy money".

• Nordea posts record income as profit sours
• Swedbank profit better than expected
• Interest rate hikes lift Handelsbanken's profit
• Sweden hikes repo rate as economy speeds up

Swedish banking group SEB posted better-than-expected third-quarter profit on Thursday as the bank clawed back provisions for loan losses in the crisis-hit Baltic region. SEB was the last of the country’s four major banks to post earnings. Also Nordea, Swedbank and Handelsbanken reported better-than-expected profits.

The reports came in as Peter Norman, the newly appointed minister for financial markets, said that Swedish banks make "too easy money".

"For example by providing insufficient information on costs for customers," he told Dow Jones Newswire.

Swedish banks should also carry the costs of new regulation and not pass it on to customers, he pointed out. "It does not make sense that a bank should pass on the costs of new regulation on to its mortgage customers. I will look at bank margins and assess if the banks pass on the costs," he said.

Nordea, the biggest bank in the Nordic region, reported a 14-percent jump in quarterly net profits on Wednesday, far better than analysts had expected. Chief executive Christian Clausen said: "Nordea had a strong quarter, with record level income and one of our highest operating profits ever."

Also Handelsbanken, Sweden's second-biggest bank by market value, reported higher-than-expected net interest income in the third quarter due to higher lending margins and volume increases.

The fourth biggest bank Swedbank -- the biggest lender in the Baltics -- posted a better-than-expected profit as loan losses fell drastically. “Swedbank’s positive trend from the first two quarters was further strengthened during the third quarter. Net interest income improved, Baltic Banking reported a profit again and the business activity with our customers was good”, Swedbank’s CEO Michael Wolf said.

Sweden's central bank raised its benchmark interest rate by 0.25 points to 1.0 percent on Tuesday, the third increase since July as the country's economy makes a strong recovery from recession. The banks lending margins got a lift from interest rate hikes by the central bank.

"The Swedish banks are strong in terms of capital and has been further strengthened during the third quarter. In this way, the Swedish banking sector is very stable, "Frida Lewné, analyst at Danske Bank, told business daily Dagens Industri.