Sweden Interest Rate  1994-2018 | Data | Chart | Calendar | Forecast

The central bank of Sweden left its benchmark interest rate at -0.5 percent on September 6th 2018, as expected, saying the economic activity in Sweden is strong and inflation is close to the 2 percent target. However, monetary policy needs to continue to be expansionary for inflation to remain close to target. Policymakers added that the repo rate will be raised by 25bps either in December or February. Interest Rate in Sweden averaged 3.14 percent from 1994 until 2018, reaching an all time high of 8.91 percent in July of 1995 and a record low of -0.50 percent in February of 2016.

Sweden Interest Rate
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Sweden Holds Interest Rate Steady at -0.5%


The central bank of Sweden left its benchmark interest rate at -0.5 percent on September 6th 2018, as expected, saying the economic activity in Sweden is strong and inflation is close to the 2 percent target. However, monetary policy needs to continue to be expansionary for inflation to remain close to target. Policymakers added that the repo rate will be raised by 25bps either in December or February.

Excerpts from the Statement by the Executive Board of the Riksbank:

Global economic activity remains favourable, although there is considerable uncertainty over future developments. International inflationary pressure are moderate, but expected to rise going forward. Monetary policy abroad is expansionary.

The Swedish economy has been strong over a long period of time. Inflation is close to the target of 2 per cent, but this is largely due to the rapidly rising energy prices. Different measures of underlying inflation indicate that inflationary pressures are still moderate. However, the strong economic activity creates good conditions for inflationary pressures to rise. CPIF inflation is therefore expected to stay close to the target even when the rate of increase in energy prices slows down.

It is important that economic activity continues to be strong and has an impact on price increases. Monetary policy therefore needs to remain expansionary and the Executive Board has decided to hold the repo rate unchanged at −0.50 per cent, in line with the forecast in July. If the economy develops as expected, there will soon be scope to slowly reduce the support from monetary policy. The forecast for the repo rate indicates that it will also be held unchanged at the monetary policy meeting in October, and then raised by 0.25 percentage points, either in December or February. The Riksbank’s holdings of government bonds amount to a good SEK 330 billion, expressed as a nominal amount. Until further notice, redemptions and coupon payments will be reinvested in the bond portfolio. All in all, monetary policy will continue to be expansionary for a long period of time.

The Riksbank continues to exercise considerable vigilance as regards the development of inflationary pressures in the economy. The krona exchange rate also has a bearing on inflation, and it is important that the krona develops in a manner compatible with inflation remaining close to the target. In addition, there is still considerable uncertainty regarding international developments. The risks of excessively low inflation merit particular attention, as at the prevailing interest rate levels, excessively low inflation is more difficult to manage than excessively high inflation. If the conditions for inflation were to change, the Executive Board is prepared to adjust monetary policy.

The low interest rates are exacerbating the risks linked to high and rising household indebtedness, while the fundamental causes of the high indebtedness still remain. Achieving long-term sustainable development in the Swedish economy therefore requires measures within housing policy, taxation policy and, where necessary, macroprudential policy.


Riksbank | Agna Gabriel | agna.gabriel@tradingeconomics.com
9/6/2018 7:54:37 AM



Calendar GMT Actual Previous Consensus TEForecast
2018-04-26 07:30 AM Riksbank Rate Decision -0.5% -0.5% -0.5% -0.5%
2018-07-03 07:30 AM Riksbank Rate Decision -0.5% -0.5% -0.5% -0.5%
2018-09-06 07:30 AM Riksbank Rate Decision -0.5% -0.5% -0.5% -0.5%
2018-10-23 07:30 AM Riksbank Rate Decision -0.5% -0.5%
2018-10-24 07:30 AM Monetary Policy Report
2018-11-02 08:30 AM Monetary Policy Meeting Minutes


Sweden Money Last Previous Highest Lowest Unit
Interest Rate -0.50 -0.50 8.91 -0.50 percent [+]
Interbank Rate -0.38 -0.38 13.13 -0.65 percent [+]
Money Supply M0 57762.00 57498.00 100763.00 53430.00 SEK Million [+]
Money Supply M3 3370331.00 3405637.00 3405637.00 987445.00 SEK Million [+]
Banks Balance Sheet 13482514.00 13527421.00 13664616.00 1784742.00 SEK Million [+]
Foreign Exchange Reserves 551350.00 550514.00 551350.00 34098.00 SEK Million [+]
Loans to Private Sector 1402260.00 1408093.00 1408093.00 344995.00 SEK Million [+]
Deposit Interest Rate -1.25 -1.25 8.00 -1.25 percent [+]
Lending Rate 0.25 0.25 9.50 0.25 percent [+]
Loan Growth 6.20 6.30 23.50 -3.30 percent [+]
Money Supply M1 2826817.00 2856210.00 2856210.00 627592.00 SEK Million [+]
Money Supply M2 3268769.00 3298888.00 3298888.00 840564.00 SEK Million [+]
Private Debt to GDP 263.47 268.81 274.89 186.73 percent [+]
Central Bank Balance Sheet 938223.00 933626.00 938223.00 28957.00 SEK Million [+]


Sweden Interest Rate

In Sweden, benchmark interest rate is set by the Executive Board of the Central Bank of Sweden (The Riksbank). The main interest rate is the repo rate which is the rate of interest at which banks can borrow or deposit funds at the Riksbank for a period of seven days. The Riksbank's target is to hold inflation in terms of the CPIF (the CPI with a fixed interest rate) around 2 percent a year. This page provides the latest reported value for - Sweden Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Sweden Interest Rate - actual data, historical chart and calendar of releases - was last updated on September of 2018.

Actual Previous Highest Lowest Dates Unit Frequency
-0.50 -0.50 8.91 -0.50 1994 - 2018 percent Daily




interest rate by Country
Country Last
Argentina 60.00 Sep/18
Turkey 24.00 Sep/18
Mexico 7.75 Aug/18
Russia 7.50 Sep/18
Brazil 6.50 Sep/18
India 6.50 Aug/18
South Africa 6.50 Sep/18
Indonesia 5.50 Aug/18
China 4.35 Aug/18
Saudi Arabia 2.50 Aug/18
United States 2.00 Aug/18
Australia 1.50 Sep/18
Canada 1.50 Sep/18
South Korea 1.50 Aug/18
Singapore 1.06 Aug/18
United Kingdom 0.75 Sep/18
Euro Area 0.00 Sep/18
France 0.00 Sep/18
Germany 0.00 Sep/18
Italy 0.00 Sep/18
Netherlands 0.00 Sep/18
Spain 0.00 Sep/18
Japan -0.10 Sep/18
Switzerland -0.75 Sep/18


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