Lessons from the Riksbank’s negative rates experiment

Sweden is the only nation to have implemented negative rates and then returned them to ‘normal’ territory. What can central bankers learn from the Swedish experience?

In December 2019, after almost five years experimenting with negative rates, Sveriges Riksbank lifted its key repo rate back to 0%. In so doing, it became the first central bank to have implemented negative interest rates that has moved back to ‘normal’ territory.

Sweden’s experiment with negative rates sparked a fierce debate among policy-makers, academics and analysts in Sweden. Critics claimed negative rates distort money markets by lowering the entire yield curve and effectively impose a

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: