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Sweden's economy forecast to shrink 0.9 pct in 2023
STORY: Sweden's economy forecast to shrink 0.9 pct in 2023
DATELINE: Aug. 10, 2023
LENGTH: 00:01:50
LOCATION: Stockholm
CATEGORY: ECONOMY
SHOTLIST:
1. press release (courtesy of the National Institute of Economic Research)
2. various of street views in Stockholm
3. various of Sweden's central bank
4. various of Sweden Statics
STORYLINE:
Sweden's gross domestic product (GDP) is forecast to shrink 0.9 percent this year, the National Institute of Economic Research (NIER) said on Wednesday.
In its previous report released in late June, the government agency expected the country's GDP to contract by 0.4 percent.
For 2024, the GDP is expected to grow by 1.2 percent, 0.2 percentage points slower than in the June prognosis.
Inflation is expected to reach 8.7 percent this year and 2.7 percent in 2024, both figures unchanged from the previous prognosis.
The key interest rate of Sweden's central bank (Riksbank) is forecast to reach 4 percent by the end of the year, 0.3 percentage points above what NIER predicted in June.
NIER expects the key interest rate to fall to 2.8 percent by June 2024, 0.5 percentage points above the previous prognosis.
The unemployment rate is forecast to reach 7.7 percent this year, up 0.2 percentage points from the previous prognosis, and 8.4 percent in 2024, up 0.3 percentage points.
Xinhua News Agency correspondents reporting from Stockholm.
(XHTV)
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