You can add Scandinavian letters (Ä, Ö & Å) manually. I've done it so and it works just fine, you can also use space ( ) and "&" also. You'll just have to edit the corresponding file from X-Terminal (I recommend using Nano. You'll get some lag when entering Scandinavian letters but that's just normal, for some reason ). And of course you can install Nano from repositories, if you can find it there. You'll though need to be root for this so you may want to do this as well:

• Go to Application Manager
• Enable "Maemo.org"/"Extras"
• Install rootsh
• Go to X-Terminal after installation
• Type gainroot
• If needed, type root

In future you shouldn't be required to use gainroot anymore, just root should be enough. After that you can use Application Manager again to install nano, if you can find it from there. If not then try this:

It should ask for permission to write to your system (e.g. to install nano) so press y and then enter. Once that's done, continue with this:

*** is the one, that you're going to edit. E.g. Games would most likely be "games.directory". You can find your corresponding directory by either pressing Tab or:

Type your desired new name to "Name=", e.g. "Name=Järjestelmä" (that's System for those who don't understand Finnish). Press Ctrl+X, type y again if asked and press Enter. Hildon will crash the Application Menu for once but then it should be OK.

Naturally, since ApMeFo does not support Scandinavian letters, it does not show up on ApMeFo but does show up in Application Menu.

More information can be found from this post : Post #107 on "Making folders and managing icons"