Riksbank’s Flodén warns QE dividends may not continue

martin-floden
Martin Flodén. Photo: Riksbank

Sveriges Riksbank's quantitative easing (QE) programme has been profitable so far, but that is likely to change as interest rates rise, deputy governor Martin Flodén warned today (November 9).

The Riksbank funds its purchases using liabilities remunerated at the repo rate, so profits on QE come from maturity transformation, Flodén told an audience in Göteborg.

So far, the central bank has been able to pay an annual dividend of around five billion krona ($550 million) to the government.

At the

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: