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Riksbank increases rates by 50bp in divided vote

Two board members preferred a 25bp rate hike while leaving open further increases

Sveriges Riksbank building
Sveriges Riksbank
Riksbank

Sveriges Riksbank increased interest rates by 50 basis points today (April 26) as it stressed inflation is “far too high”.

As a result, the Swedish policy rate stands now at 3.5%. Additionally, the central bank signalled it will increase rates by 25bp in June or September, implying a terminal rate of 3.75%.

The executive board said after this meeting it will have room to adapt the policy rate “in smaller steps”. But it warned there is still “considerable uncertainty regarding inflation

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