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MNI (London)
LONDON (MNI)

Sweden's firms are reporting supply disruptions due to computer chip and freight container shortages, and a rise in cost pressures, suggesting that the central bank's upside inflation scenario may materialise, according to the Riksbank's latest quarterly business survey.

The survey found that for manufacturers supply, not demand, had become the key constraint and prices were expected to rise. In its most recent Monetary Policy Report the Riksbank noted the risk of supply shortages and said "this could subdue output slightly but also drive up inflation in Sweden" and if this happened it would take "a shorter time for CPIF inflation to reach 2 per cent more permanently than in the main scenario."

MNI London Bureau | +44 203-586-2225 | les.commons@marketnews.com
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