The Executive Board of the Riksbank held the policy rate at 1.75 per cent in September, citing spare capacity and underlying inflation relatively close to 2 per cent, but said stronger economic activity and continued supply shocks require more tightening than projected in June, with increases expected to begin in 2026 if the outlook remains unchanged. The rate has remained at 1.75 per cent since September 2025, following a series of cuts from 4 per cent beginning in May 2024. The decision will apply from 30 September. Measured inflation was low in August because of temporary fiscal measures, while inflation adjusted for their direct effects was relatively close to target and is expected to rise in the near term. Second-quarter GDP grew faster than expected, partly reflecting temporary factors, and the Riksbank raised its 2026 growth forecast to 2.8 per cent, with labour-market indicators pointing to some improvement. The krona continued to weaken. Supply shocks from the war in the Middle East persisted and global cost pressures remained elevated, although the global economy had adapted to some extent. The Riksbank said signs of a larger and more persistent inflation upturn would prompt faster rate increases than currently forecast.
2026-09-24Riksbank
Sveriges Riksbank Holds Policy Rate at 1.75%
The Riksbank held its policy rate at 1.75% but said stronger economic activity and continued supply shocks could require rate increases beginning in 2026 if the outlook is unchanged. It raised its 2026 growth forecast to 2.8% and warned that a larger, more persistent inflation upturn would prompt faster tightening.