Executive Board in Finance Committee hearing on monetary policy in 2025
Presentation “2025 was a dramatic year in the world, not least as a result of the US administration’s shift in foreign and security policy, which increased uncertainty regarding the outlook for the Swedish economy.” These were the words of Governor Erik Thedéen when he opened the Committee on Finance's hearing of the Executive Board on the monetary policy conducted in 2025.
Date: 26/05/2026 09:00
Speaker: Governor Erik Thedéen
Place: The Committee on Finance
Mr Thedéen emphasised that the Executive Board's focus was on securing the inflation in line with the target that was attained in 2024, while supporting economic activity. Despite clearer signs that economic activity would pick up, it remained weaker than expected for a long time during the year and the Riksbank’s forecasts needed to successively postpone the timing of the recovery.
“A key question was whether the higher inflation at the beginning of the year was temporary or more permanent,” said Mr Thedéen. If the latter were judged to be the case, there would be reasons to hold off on further monetary easing.
“We assessed that the elevated inflation was largely due to transitory factors, and that the underlying inflationary pressures were in line with the target. That is why we cut the policy rate three times during the year to further support the economic recovery, despite the elevated inflation.”
The assessment proved to be correct: In December, CPIF inflation, both including and excluding energy, was again close to 2 per cent.
“Overall, against this background, we believe that target fulfilment in 2025 was relatively good.”
About the Committee on Finance hearing
As part of the Committee on Finance's annual assessment of monetary policy, the Committee is holding a hearing of the Executive Board on monetary policy in 2025. The Riksbank's report Account of Monetary Policy forms a basis for the evaluation. The hearing also includes a presentation of the report "Swedish Monetary Policy 2025", which was commissioned by the Committee on Finance and produced by the Centre for Monetary Policy and Financial Stability (CeMoF ) at Stockholm University. This year's report is written by Martin Blomhoff Holm at the University of Oslo, Karin Kinnerud at the BI Norwegian Business School in Oslo and Roine Vestman at Stockholm University.