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Repo rate left unchanged

Published onsdag 3 juli 2013 kl 17.11
Riksbank head Stefan Ingves presents the decision to leave the repo rate unchanged

The Swedish central bank has announced that it is keeping its key interest rate, the repo rate, at 1 percent.

There had  been some speculation that with two new governors on its board, the Riksbank might lower the rate. Two of the governors did favor a lowering of the rate to 0.75 percent, including one of the new members.

However, the bank says it believes the repo rate will begin to be slowly adjusted upwards during the second half of next year.

Riksbank head Stefan Ingves says after the recent crisis, the economy is facing two years of gradual recovery. “Our assessment is that the worst is over,” he says, “and we are heading towards a normalization.”

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