Sweden Business Confidence Hits 4-Year High

Sweden’s business confidence indicator climbed to 107.4 in July 2026 from a slightly upwardly revised 106.4 in the previous month, marking the highest level since June 2022. The increase points to a stronger-than-normal business mood, although changes across sectors remained small. Demand conditions were unchanged at -17, remaining broadly in line with the historical average, while companies reported a decline in employment over the past three months, with the net figure at -3. However, hiring plans strengthened (6 vs 4 in June), pointing to an increase in workforce levels over the next three months. Meanwhile, firms’ expectations for sales prices remained elevated, with the net figure edging up to 21 from 20, indicating that companies anticipate price increases to a greater extent than normal.

Sweden’s business confidence indicator was unchanged at 103.6 in June 2026, remaining above the long-term average of 100 and continuing to signal stronger-than-normal business sentiment. Demand conditions improved slightly (-20 vs -23 in May), though it remained below normal levels, indicating weaker-than-usual demand. Labor market conditions softened, as companies reported a larger decline in employment over the past three months (-5 vs -2). Looking ahead, firms expect staffing levels to remain broadly unchanged over the next three months (0 vs 1). Meanwhile, companies continued to anticipate higher sales prices over the coming three months, although price expectations moderated (20 vs 24). Survey responses also indicated that firms remain more dissatisfied with demand conditions than normal, while sentiment toward demand was broadly in line with normal levels in the manufacturing and trade sectors.

Sweden’s business confidence indicator was broadly unchanged at 103.3 in May 2026 from 103.5 in April, remaining above the 100 mark and continuing to signal stronger-than-normal business sentiment. Demand conditions remained weak, with the indicator slipping to -24 from -23, staying below historical norms. Employment trends were largely stable, as firms reported only a slight decline in staffing over the past three months (-1 vs -2), while hiring expectations for the next three months eased to 1 from 3, pointing to a broadly unchanged workforce outlook. Construction was the only sector expecting employment growth ahead. Meanwhile, pricing intentions strengthened notably, with expected sales prices over the next three months rising sharply to 23 from 16, the highest among the surveyed indicators. The increase was particularly evident in the grocery trade, partly reflecting adjustments following the VAT reduction on food introduced in April.