FX.co ★ Riksbank Raises Rates, Signals Further Tightening Ahead

At its November meeting, Sveriges Riksbank raised its policy rate by 25 basis points to 2.0%, in line with market expectations, bringing borrowing costs to their highest level in over a year. This was the central bank’s first rate increase since September 2023. Policymakers cited stronger economic activity and higher costs linked to supply disruptions as key factors expected to push inflation higher. The Riksbank also indicated that additional monetary tightening is likely next year if inflation and economic conditions evolve as anticipated, reaffirming the policy rate path it outlined in September.