Swedish Inflation Hits 19-Month High

Sweden’s annual inflation rate rose to 1.1% in September 2026, slightly below the initial estimate of 1.2% but sharply up from 0.3% in August, marking its highest level since February 2025. The acceleration was driven mainly by higher energy prices, with fuel and electricity costs increasing by 20% and 17%, respectively. This pushed inflation in housing and utilities to 4.8% from 2.6% in August, partly reflecting higher rents and maintenance costs. Price growth also accelerated for transport (3.4% vs 1.7%) and information and communication (2.2% vs 1.8%). In contrast, food and non-alcoholic beverage prices continued to fall by 6.6%, while prices also declined for health (-5.9% vs -6.2%) and education services (-15.6% vs -15.5%). On a monthly basis, consumer prices increased by 0.9%, matching estimates and rebounding from a 0.3% decline in August. Meanwhile, the CPIF, which excludes the effect of changes in mortgage interest rates, rose to 1.5% from 0.7% in August.

Annual inflation in Sweden rose to 1.1% in September 2026 from 0.3% in August, preliminary data showed, but was below market expectations of 1.3%. The latest reading was the highest since February 2025, driven mainly by higher energy prices amid continued disruptions to Middle East supply. On a monthly basis, consumer prices increased by 0.9%, rebounding from a 0.3% fall in August. Meanwhile, the CPI with a fixed interest rate (CPIF), the Riksbank’s target measure, rose by 1.5% from a year earlier in September, accelerating from a 0.7% increase in the previous month and marking the highest level since May, but falling short of the estimated 1.6%.

Consumer prices in Sweden rose by 0.3% year-on-year in August 2026, confirming preliminary estimates and slightly up from a 0.2% gain in July, which was the lowest reading since May 2025. Prices mainly increased for housing and utilities (2.6% vs 2.3% in July), driven by higher rents and electricity prices, while transport (1.7% vs 0.4%) also accelerated as fuel prices rose, with diesel becoming 18% more expensive. Additionally, inflation continued to rise for alcoholic beverages and tobacco (2% vs 2.1%) and recreation, sport and culture (1.6% vs 1.8%). In contrast, costs declined further for food and non-alcoholic beverages (-6.6% vs -7.2%), health (-6.2% vs -6.4%), and education services (-15.5% vs -15.3%). On a monthly basis, consumer prices fell by 0.3%, the same pace as in the previous month. Meanwhile, the CPI with a fixed interest rate (CPIF), the Riksbank’s target measure, rose 0.7% annually, the lowest reading since December 2020, and down 0.3% monthly in August.