MNI BRIEF: Riksbank Unlikely To Need To Sell Assets- Skingsley

Sweden’s Riksbank will be able to diminish its asset portfolio swiftly without having to switch to active sales, Deputy Governor Cecilia Skingsley said in a speech.

Most of the assets it has purchased will mature within three years and "this makes it unlikely that the Riksbank will need to sell securities to shrink the portfolio," Skingsley said, at Handelsbanken in Stockholm

The Riksbank decided to halve the pace of asset purchases at its April meeting, which will already be enough to see the stock decline given upcoming redemptions.

Skingsley argued in favour of using the policy rate as the primary tool to combat the surge in inflation.

"The best order will be to raise the policy rate first and then let the portfolio shrink”, she said.