Brussels - The European Commission on Thursday approved Sweden's financial rescue package, which involves the state providing up to 1,500 billion Swedish kroner (201 billion dollars) in debt guarantees to banks and other lenders.

The plan's approval by the European Union executive came just three days after it was officially received in Brussels.

"This decision shows that when member states follow the commission's guidance on overcoming the financial crisis, they can obtain rapid approval," said Competition Commissioner Neelie Kroes.

"The Swedish measures were well-designed and needed little alteration to take full account of the state aid rules' requirements that such schemes are non-discriminatory and minimise potential distortions of competition," she added.

The commission has so far cleared similar rescue plans by Britain, Denmark, Germany and Ireland and is still considering those of, among others, France and Spain. (dpa)