Swedbank Economic Outlook: the Swedish economy continues to shrink
Winter has come early for Sweden’s economy this year, and it is expected to cool down even more as rising interest rates and high inflation continue to weigh on households’ purchasing power. The Riksbank will raise the policy rate one more time in the current cycle, but policy rate cuts are expected next year, according to Swedbank Economic Outlook.“Households continue to hold back on spending, and this is expected to weigh on GDP for some time to come. At the same time, housing construction is at a standstill and housing investments will fall further in the future. We also expect