This year’s reform scope is exhausted by the budget decided by Parliament

Minister for Finance Magdalena Andersson will today present the latest forecast for the economy and public finances.

“The Swedish economy is strong. We have a historically high level of employment and strong public finances. But the Riksdag’s decision on the budget last year means that taxes have been reduced by SEK 20 billion. This means that the scope for reforms is non-existent in the coming spring amending budget, so new investments need to be financed,” says Minister for Finance Magdalena Andersson.

The Swedish economy has been strengthened in recent years and growth has been high. However, in recent times there have been several indicators to suggest that economic development has dropped somewhat, which suggests that growth will slow in 2019. Growth is expected to amount to 1.6 per cent this year and in 2020.

The labour market remains strong and the forecast for unemployment has been reduced slightly, which is due to the strong outcome of the fourth quarter of 2018.

However, the United Kingdom’s withdrawal from the EU, US trade policy and uncertainty in the Swedish housing market mean that there is a risk of development being weaker than expected.

“But we are well prepared for any economic imbalances,” says Ms Andersson. “We had a surplus in public finances the whole of the last electoral period and we paid off part of the national debt. The national debt decreased by approximately SEK 130 billion, giving us the lowest national debt since 1977,” she adds.

Contact

Isabel Lundin
Press Secretary to Minister for Finance Magdalena Andersson
Phone (switchboard) +46 8 405 10 00
Mobile +46 762 96 46 38
email to Isabel Lundin
Per Strängberg
Press Secretary to Minister for Finance Magdalena Andersson
Phone (switchboard) +46 8 405 10 00
Mobile + 46 730 939 056
email to Per Strängberg
Thomas Bergman
Head of the Macroeconomic Forecasting Division
Phone +46 8 405 47 18
email to Thomas Bergman, via senior registry clerk
Thomas G Pettersson
Head of the Public Finances Division
Phone + 46 73 985 08 37
email to Thomas G Pettersson, via senior registry clerk