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Progress On Inflation But Still Too High

SWEDEN

The Riksbank note that developments in inflation are in the right direction but still too high.

  • They note the krona is "unjustifiably weak" and services inflation is still rising at a rapid pace.
  • Forecasts in the September MPR indicates an unchanged CPIF rate in 2023 (at 5.9%) and a slightly higher (2.5% vs 2.4% prior) rate in 2024.
  • GDP forecasts for 2023 and 2024 are revised down, while unemployment is forecast to be 7.4% (vs 7.5% prior) in 2023 and 8.3% in 2024 (vs 8.2% prior).

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