Stockholm - Sweden is soon to present legislation aimed at shoring up confidence in the finance sector, Prime Minister Fredrik Reinfeldt said Monday.

At a joint news conference with Finance Minister Anders Borg, Reinfeldt also welcomed a weekend agreement by Eurozone countries to solve the financial turmoil.

Reinfeldt told reporters that the deal "was very heartening. It is a first important step to secure financial stability in Sweden."

The legislation would likely be presented later this week.

Sweden, a member of the 27-nation European Union, has not introduced the joint European curency, the euro.

Borg underlined that the Swedish bank sector was stable and the banks were solvent, indicating that at present the government was not considering injecting cash into the banks.

A week ago, the Swedish government said it planned to double the state guarantee to 500,000 kronor (70,000 dollars) for deposits in Swedish-owned banks.

In a related development, the Swedish central bank welcomed efforts over the weekend by members of the International Monetary Fund to restore confidence in the financial markets as "a major success," Governor Stefan Ingves said.

Markets in the Nordic region opened strongly Monday in the wake of international efforts, including by Eurozone countries, to solve the financial turmoil.

The Stockholm bourse general index OMXS cntinued its climb and at noon local time was up over 7 per cent with strong performance for banking shares. (dpa)