Green Shoots of Recovery
Sweden's centre-right government provided an upbeat economic forecast for the near future on Monday, declaring that unemployment would not hit the heights it had previously feared.
Its unemployment estimate for 2010 was revised down from 11.4 percent to 10.7 percent while Sweden's economic output would only shrink by 4.9 percent this year and not the predicted 5.2 percent while the economy would start to grow next year by two percent.
Sweden's finance minister Anders Borg said that a stronger than expected performance in the global economy and lower uncertainty among companies and households as the underling factors for the surge in confidence.
"Sweden has landed on its feet after the financial crisis. But to stand steadily we need to continue on the expansive direction of our current economic policy," Borg said in a statement.