Riksbank Governor Thedéen Addresses Swedish Economy Amid Weak GDP Figures

Riksbank Governor Erik Thedéen reassures about Sweden's economic stability despite weak GDP and rising unemployment.

Key Points

  • • Riksbank Governor Erik Thedéen sees no significant changes in the economy despite weak GDP figures.
  • • Unemployment in Sweden rose by 560 individuals last week.
  • • Aggregate buy recommendations for Swedish listed companies increased to 55%.
  • • The buy recommendation for OMXS30 companies, however, fell to 43%.

On June 2, 2025, Riksbank Governor Erik Thedéen delivered remarks on the current state of the Swedish economy during a meeting at the Nationalekonomiska Föreningen in Stockholm. Despite the recently reported weak GDP figures, Thedéen emphasized that there are no significant changes to the overall economic landscape. He reported that the Swedish economy remains stable, although the recent trends indicate some challenges ahead.

Thedéen noted a slight increase in the unemployment rate, with the Swedish Employment Agency indicating a rise of 560 individuals in the jobless count last week. This uptick in unemployment is concerning but, according to Thedéen, does not signal an abrupt shift in economic conditions. He advocates for careful monitoring rather than drastic policy changes at this point.

Market sentiment appears mixed; while the overall buy recommendation for Swedish listed companies climbed to 55%, the recommendation for the OMX Stockholm 30 Index, which covers the largest companies, decreased to 43%. This suggests a divergence in investor confidence, with broader Swedish stocks experiencing a bit more optimism than the largest firms.

In his address, Thedéen reiterated the importance of transparent monetary policy communication during times of economic uncertainty. He underscored that while GDP performance may fluctuate, the underlying stability of the Swedish economy—aligned with core inflation targets and the operational objectives of the Riksbank—remains intact.

When discussing future trends, Thedéen indicated that forecasts will continue to evolve as global economic factors play a role. He is optimistic about the gradual recovery in consumer markets, such as the American recreational vehicle sector, which is projected to grow by 1% this year, highlighting the potential for broader economic improvements in consumer spending during upcoming months.