FX.co ★ Sweden Business Mood Stays Firm Despite Downturn

Sweden’s business confidence barometer declined for a second consecutive month, slipping to 104.7 in February 2026 from a slightly downwardly revised 106.3 in January. Despite the drop, the index remained above the neutral 100 level, signalling sentiment that is still stronger than normal. The deterioration was driven primarily by weaker confidence in the manufacturing sector.

Companies’ assessment of overall demand was broadly unchanged from January, holding at -25, and thus remained clearly below normal. Trade was a notable exception, with sales conditions judged to be in line with typical levels.

Employment fell more than is usually observed over a three-month period (at -6, compared with -7 in January), but firms expect hiring to recover moderately in the coming quarter (5, down slightly from 6), with the construction sector in particular anticipating increased recruitment.

Most businesses still plan to raise their selling prices over the next three months (12 vs. 14 previously), although retailers have sharply scaled back their price increase expectations.