Swedish defence company Saab Dynamics is close to finalising a new arms sales deal with Saudi Arabia, financial newspaper Dagens Industri reports.

Intense negotiations over the delivery of the anti-tank missile Bill 2 have been going on for nearly one year, according to Dagens Industri.

The ongoing diplomatic row between Sweden and Saudi Arabia will reportedly not affect the deal, although it has disrupted the process.

The government can do little to stop the deal because it is considered to be a delivery within the framework of an agreement made in 2007. The deal has been approved by the Swedish Trade and Invest Council and by the Inspectorate of Strategic Products, which cannot stop weapons deliveries without a UN embargo, writes Dagens Industri.

Saab Dynamics, based in Linköping, south-eastern Sweden, has neither denied nor confirmed the allegations.