FX.co ★ Sweden’s GDP Growth Cools Sharply to 0.2% in Q4 2025, Signalling Loss of Momentum

Sweden’s economic growth slowed markedly in the fourth quarter of 2025, with quarter-on-quarter GDP expanding by just 0.2%, down from 1.1% in the previous quarter. The fresh data, updated on 29 January 2026, highlight a clear cooling in momentum after a stronger performance in the third quarter of 2025.

On a quarter-over-quarter basis, the latest figure shows that while the Swedish economy continued to grow, it did so at a much weaker pace compared with the third quarter, when GDP rose 1.1% versus the second quarter of 2025. The comparison underscores a shift from robust to subdued quarterly growth as 2025 drew to a close.

The data suggest that short-term economic dynamics have become less supportive, with the fourth-quarter reading pointing to a more cautious backdrop heading into 2026. Investors and policymakers are likely to closely monitor upcoming indicators to assess whether this slowdown is temporary or marks the start of a more persistent moderation in activity.