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Swedish Central bank raises Key Interest Rate

Published torsdag 26 oktober 2006 kl 12.20

The Swedish central bank said on Thursday that it was raising its leading interest rate by a quarter of a percent, taking the overall rate to 2.75 percent.

The bank said that ”continued good economic activity and rising inflation” was behind the increase, the fifth hike this year.

The Swedish economy remained strong, according to the bank, with continued GDP growth forecast for 2007.

”GDP growth in Sweden and abroad remainded high during the first six months of this year and was stronger than anticipated. Growth is also expected to be relatively strong for the remainder of this year and during next year,” the bank said.

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