Sweden's Riksbank published a notice and minutes from the Financial Stability Council's 8 June meeting, showing that the authorities judged Sweden's financial system to be stable but facing elevated risks from geopolitical and economic uncertainty. The council's discussion pointed to the war in the Middle East as increasing the likelihood of higher inflation and interest rates, which could interact with high indebtedness and expose vulnerabilities. It also highlighted strong risk appetite and high asset valuations in financial markets, creating the potential for sharp price moves and a broader negative turn if several adverse events occur at once. The meeting also focused on operational resilience. The authorities said the security situation requires strong preparedness for operational risks in the financial sector, including cyberattacks, and confirmed that a new function for operational crisis management in the financial sector will be established on 1 July under the Riksbank's responsibility. Planned crisis exercises were discussed as part of that work. The council also reviewed vulnerabilities arising from the Swedish financial system's dependencies on other countries, the effects of structural change in financial services and wider use of new technologies, and the need for risk management, supervision and consumer protection. Swedish major banks were described as remaining resilient, with limited direct exposures to the Middle East. The next ordinary meeting of the Financial Stability Council is scheduled for December 2026.

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