We've maintained our GDP growth forecasts for Sweden at 0.8% for this year and 2.2% for 2025. Although activity has been sluggish, we expect it will pick up pace in the next few quarters due to household real income gains, easing financial conditions, and improved domestic and external demand. Both fiscal and monetary policy will support growth next year, making Sweden the fastest growing, West European economy.
Sweden: Policy loosening to help fuel strong growth next year