Monetary Policy Report, April 2019

Activity in the Swedish economy is high and inflation is close to the target of 2 per cent. The strong economic activity in Sweden indicates that inflation will remain close to target going forward but recent outcomes suggest that inflationary pressures are slightly weaker than expected. The Executive Board has decided to hold the repo rate unchanged at –0.25 per cent and assesses that the rate will remain at this level for a somewhat longer period of time than was forecast in February. The repo rate is expected to be raised again towards the end of the year or at the beginning of next year and rate rises thereafter are expected to occur at a somewhat slower pace. The Executive Board has also decided that the Riksbank will purchase government bonds for a nominal value of SEK 45 billion from July 2019 to December 2020.