Sweden's Riksbank reported that Swedish banks and other credit institutions subject to its interest-free deposit requirement have deposited the full required amounts into accounts with the Riksbank by the 31 October deadline, following the decision taken in June to impose the requirement. Total deposits are around SEK 40 billion. The deposited amount corresponds to the gap between the Riksbank’s target level for equity (just over SEK 63 billion) and its current equity (just over SEK 23 billion). Enabled by a Riksdag decision at the end of 2024 and effective from 1 January 2025, the requirement applies to Swedish credit institutions and branches of foreign credit institutions operating in Sweden; as the deposits are non-interest-bearing, the measure reduces the Riksbank’s interest costs and contributes to improved earnings. The Riksbank indicated it will decide each year whether a deposit requirement is needed and, if so, how large it should be, reflecting changes in the size of its equity.
Riksbank 2025-11-06
Sweden's Riksbank confirms Swedish credit institutions have met SEK 40 billion interest-free deposit requirement
Sweden's Riksbank confirmed banks and credit institutions met the interest-free deposit requirement, depositing about SEK 40 billion by the 31 October deadline. Effective January 2025, this measure aims to bridge the gap between the Riksbank's target and current equity levels, reducing interest costs and enhancing earnings. The Riksbank will annually assess the necessity and size of future deposit requirements based on equity changes.