SWEDEN - The Swedish government has named Ingrid Bonde as head of the Financial Supervisory Authority. She faces what the government termed "serious challenges".

"Ingrid Bonde gives us a competent and dynamic director general at the FSA," says deputy finance minister Gunnar Lund in a statement on the Swedish government's website.

He added: "The FSA is facing serious challanges. The marketplace has seen a tremendous rise in activity in recent years and international reform is taking place. Ingrid Bonde has long experience and solid knowledge."

Bonde, 42, will begin her six year stint on the beginning of 2003. She is currently preparing a survey for the Ministry of Finances on the FSA's future role.

She is a former top manager at the Swedish national debt office - Riksgaldskontoret. She was finance director at Scandinavian Airline Systems rom 1991-1996.