Economic policy

The Government has today (3 September) announced measures to safeguard financial stability in the face of Russia’s energy war with Europe.

Russia’s illegal invasion of Ukraine has led to increased economic uncertainty. According to the Ministry of Finance’s latest economic forecast, an economic downturn is expected both in Sweden and globally. Minister for Finance Mikael Damberg presented the forecast during the Government’s deliberations at Harpsund today.

Statement made by the Group of Creditors of Ukraine to express solidarity with and support for Ukraine as it defends itself against Russia’s unjustified, unprovoked and illegal war of aggression. The statement was made in connection with a decision by the creditors to provide a coordinated suspension of debt service due by Ukraine from August 1st, 2022 until end-2023, with the possibility of an additional year.

Minister for Finance Mikael Damberg today presented the Ministry of Finance’s latest forecast for the economic situation. Due to high inflation and rising interest rates, growth is expected to slow in the second half of the year. The labour market remains strong, but unemployment is expected to level off next year.

In accordance with a decision of the Riksdag (Swedish Parliament), the Government has, since 1988, published a report on the distribution of economic resources between women and men as part of the Budget Bill.

The European Council is holding a special meeting in Brussels on 30–31 May. A number of issues related to Russia’s invasion of Ukraine are expected to be discussed. These include continued EU support to Ukraine, energy and food security. Prime Minister Magdalena Andersson is representing Sweden.

The Stability and Growth Pact is a set of rules for coordinating fiscal policy between EU Member States. The purpose of these rules is to ensure sound public finances. Every April, Member States are to submit stability and convergence programmes. Sweden and other Member States that have not adopted the euro submit convergence programmes, whereas Member States that have adopted the euro submit stability programmes. The programmes are used by the Commission and the Council in their assessment of Member States’ fiscal policies and situations.

Today, the Government is presenting the 2022 Spring Fiscal Policy Bill and the Spring Amending Budget for 2022. In light of the deteriorating security situation, the Government is presenting a budget to strengthen Sweden that includes both immediate investment and long-term measures to address societal challenges, at a total of SEK 35.4 billion.

Today, the Government is presenting the 2022 Spring Fiscal Policy Bill and the Spring Amending Budget for 2022. In light of the deteriorating security situation, the Government is presenting a budget to strengthen Sweden that includes both immediate investment and long-term measures to address societal challenges.

Today, Minister for Finance Mikael Damberg presents the Ministry of Finance’s latest economic forecast. The Swedish economy is expected to grow by 3.1 per cent this year, a downward revision of 0.3 percentage points compared with the previous forecast. This is because Russia’s invasion of Ukraine impacts economic growth.

In July 2020, EU heads of state and government agreed on a recovery package to mitigate the effects of the crisis. The package, called NextGenerationEU, comprises EUR 750 billion in loans and grants to the Member States. The main part of this will be channelled through the Recovery and Resilience Facility (RRF).

The European Council meeting of 24–25 March, one month after Russia began its aggression against Ukraine, focused on the conflict and consequences for the EU. The US President attended the meeting for talks on Thursday evening. On Friday the focus was on Europe’s strategic dependence on Russian fossil fuels, the high energy prices in the EU and the green transition.

Russia’s illegal, unprovoked and unjustifiable invasion of Ukraine has led to a deterioration in the security situation in Sweden’s neighbourhood and contributed to exceptionally high electricity prices. The Government’s response is based on three important principles: support to Ukraine, sanctions against Russia and strengthening Sweden. Therefore, the Government today adopted a fifth additional amending budget to strengthen Sweden by providing more funding to Sweden’s military defence and temporary financial compensatory payments to households for high electricity prices. These measures have been presented previously.

Russia’s invasion of Ukraine has led to rising fuel and electricity prices. To strengthen Sweden in this extraordinary situation, the Government is presenting a package of measures with both short- and long-term investments. The package includes reduced fuel taxes, a new compensatory payment for fuel costs for private individuals who own cars, increased housing allowance for families with children and a new travel deduction system. Minister for Finance Mikael Damberg presented this package at a press conference today

Heads of state and government from the EU and the African Union (AU) will meet in Brussels on 17–18 February. It is the seventh time the EU and AU leaders will meet. The aim is to establish foundations for a renewed and deepened partnership between the two unions. The leaders are expected to adopt a joint declaration on closer cooperation in a range of areas. Prime Minister Magdalena Andersson will represent Sweden.

Today, Minister for Finance Mikael Damberg presents the Ministry of Finance’s latest forecast for the economic situation. The Swedish economy is expected to grow by 4.9 per cent this year, an upward revision of 0.5 percentage points compared with the previous forecast. Sweden’s GDP is back at the levels forecast before the crisis.

Since the infection started to spread, the Government and the Riksdag have taken a large number of measures to safeguard people’s lives, health and livelihoods. At the same time a powerful green restart of the Swedish economy is being implemented. In all, the economic measures taken are worth almost SEK 400 billion for 2020 and 2021. This corresponds to around SEK 40 000 per inhabitant. In addition, around SEK 1 000 billion has been made available in various forms of loans and guarantees.

The Government is presenting the Budget Bill for 2022 to the Riksdag today. In it, the Government proposes measures to accelerate the climate transition, get more people into work, strengthen the welfare system and make Sweden a safe country for all. In total, reforms worth approximately SEK 74 billion are involved.