Swedish economy will peak this year but remain buoyed by external demand next year
The Swedish economy will peak this year, and GDP growth will slow nextyear. Capacity utilisation in manufacturing is at historically high levels, andhousing investment is high as a share of GDP. A strong labour market is alsogood for the households, who can expect wage growth to pick up somewhat. Nextyear, the economy will slow slightly as growth in both manufacturing and housinginvestment falls sharply, but external demand will limit the slowdown. Such arethe results of the latest forecast from the National Institute of EconomicResearch (NIER), published today.Although