Sveriges Riksbank left its policy rate unchanged at 1.75 % with effect from 13 May 2026, judging that below-target inflation and weaker-than-expected early-year growth allow it to pause while it assesses the impact of the Middle East war on commodity prices and the broader outlook. After cutting the rate by a cumulative 50 bp to 1.75 % between June and September 2025, the Executive Board has held it steady. The current level is deemed a “good initial position” for any future adjustment. Inflation is presently below the 2 % CPIF target, and recent readings have come in clearly beneath the Riksbank’s forecast; signs of softer activity reinforce the case for patience even as surveys point to higher cost pressures in parts of the business sector. Oil and other commodity prices remain elevated and volatile amid the conflict, though market pricing still anticipates some easing later this year. The Board reiterated that the rate is expected to stay at 1.75 % “for some time to come” and it stands ready to act should the inflation or growth outlook warrant.
Riksbank 2026-05-07
Sveriges Riksbank leaves policy rate unchanged at 1.75 %
Sveriges Riksbank left its policy rate unchanged at 1.75 % effective 13 May 2026, citing sub-target CPIF inflation, weaker early-year growth and commodity-price volatility linked to the Middle East war. The Executive Board, which cut 50 bp in 2025, expects the rate to remain at this level “for some time to come” and signalled readiness to act if the inflation or growth outlook shifts.