As investors flee troubled eurozone countries the Swedish krona attracts a lot of attention – and is expected to strengthen.

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The Swedish krona has emerges as one of the most interesting currencies for investors, Bloomberg wrote in an analysis. Sweden's strong fiscal finances and shrinking deficit tempts investors fleeing the growing debt crisis in Greece and other troubled nations that share the euro.

“In this world of zero yields, when you have a country with sound financials and a central bank that’s bringing forward rate hikes, the currency is going to attract a lot of attention,” Richard Benson, executive director at Millennium Asset Management currency hedge fund in London, told the newswire. “It was a super-weak currency, and that has made it cheap.”

Last quarter the krona was the worst- performing major European currency; now it has taken pool position. The Swedish currency has strengthened more than all 156 tracked by Bloomberg except Brazil’s real, making it the krona’s best month since January 1999.

Looking ahead, the krona is expected to appreciate at least 10 percent this year. The Swedish Riksbank is likely to raise interest rates by a percentage point, four times more than the European Central Bank, while the country’s economy grows almost twice as fast as Europe’s.

“While the government maintains a cradle-to-grave welfare system, Prime Minister Fredrik Reinfeldt’s drive to sell state assets and cut taxes has provided a haven for investors rattled by warnings that Greece, Spain and Portugal will be overwhelmed by budget deficits”, the newswire wrote in its analysis.

Besides, Sweden’s stock and bond markets are outperforming European peers.