Swedbank AB still swims in the troubling waters facing high risks in Latvia and Ukraine despite economic improvements there, and credit losses in Sweden may rise from current low levels as interest rates rise and stimulus measures are withdrawn over the next year, the bank's chief risk officer revealed Tuesday.

Swedish banking group Swedbank revealed that a marginally stabilized global economy just might permit it to fetch profit this year after facing massive losses in the crisis-hit Baltic region weighed on fourth quarter results.

"Given that the global macro economy continues to develop positively without substantial divergence, particularly in Latvia and Ukraine, a profit for the full-year 2010 is feasible", Chief Executive Michael Wolfe said in a statement.

Swedbank on Tuesday posted its fourth-consecutive quarterly loss, at 1.80 billion Swedish kronor ($243.1 million) in the fourth quarter, majorly on account to large loan losses and provisions in its Baltic and Eastern European operations.

On the positive side, Estonia's progress in reining in inflation and decreasing its public deficit has triggered its chances of adopting the euro in 2011, a measure that would help stabilize asset quality in the country, Bronner said.