The wartime years entail a return to austerity and uncertainty. For the Bank’s customers, any degree of predictability is crucial – wages have to be paid, suppliers need to be reimbursed and inventories need to be funded, even though rationing is in effect. The branches provide practical support every day, advising on flows, payment terms and resource prioritisation.
A prudent approach to risk and robust liquidity mean the Bank can continue its work without losing its footing.
A long-term perspective that builds strength
The post-war recovery is widespread and rapid. Forestry is modernised, hydropower is expanded and the manufacturing industry grows quickly. The advent of peace proves the value of the Bank’s perseverance. Investment again begins to flourish and the Bank’s lending principles prove to be just as successful during uncertain times as during times of optimism. Now, as before, a good credit is a good credit, no matter what condition the economy happens to be in.
The forestry company SCA is an example of how a long-term approach and clear governance can generate stability and optimism from a crisis. Through investments and efficiency improvements, the business develops and grows until the conditions are right for a broader ownership again. From the formation of Industrivärden in 1943, where Handelsbanken’s holding in SCA was managed, it took only seven years until SCA was listed on the Stockholm Stock Exchange. A key milestone on the journey to being one of Europe’s leading forest owners.
Stability starts locally
Household finances notice the difference thanks to rising incomes and greater saving opportunities. The personal relationship with their local bank branch gives many families easier access to support in planning their finances and goals, such as a new house in one of the emerging housing estates. The Bank contributes to a time of renewed optimism with the security of its services, clear terms and conditions, and long-term financing. The lessons learned during decades of experience are put into practice. Stability starts locally, no matter the economic situation.
