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Riksbank pushes for FSA to gain stronger tools amid delays

More powerful tools for Swedish FSA to tackle debt may be delayed

Photo by David Lundberg
Sveriges Riksbank. Photo: David Lundberg

Sweden needs stronger macro-prudential tools as its housing market continues to heat, Sveriges Riksbank warned on February 4, but the government says passing the necessary legislation will take time.

House prices in Sweden have been rising since early 2012, increasing 18% last year, which the Riksbank said was considerably faster than household income growth. The increase is largely driven by supply bottlenecks, rapid inward migration and low interest rates, and the high prices are encouraging

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