Sweden’s Riksbank cuts interest rate to 1.75%, signals pause

Published 23/09/2025, 08:58
Sweden’s Riksbank cuts interest rate to 1.75%, signals pause

Investing.com -- Sweden’s central bank reduced its key interest rate to 1.75% on Tuesday, marking its third cut this year as it aims to support the country’s economic recovery.

The Riksbank’s decision to lower the rate to its lowest level in three years was anticipated by nine of the 22 economists surveyed by Bloomberg, while the remaining analysts had expected rates to remain unchanged.

In its statement, the central bank indicated that it plans to maintain the current rate level for the foreseeable future, provided economic conditions develop as expected.

"If the outlook for inflation and economic activity holds, the policy rate is expected to remain at this level for some time to come," the Riksbank stated.

This latest monetary policy adjustment reflects the central bank’s ongoing efforts to balance inflation control with support for Sweden’s recovering economy.

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