Central Bank: Companies Take a More Optimistic View of the Future

The economic situation is weaker than normal. But Swedish business believes in an improvement in the situation over the coming half-year, shows the Riksbank's corporate survey in May.

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Central Bank: Companies Take a More Optimistic View of the Future
Photo: Tim Aro/TT

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The economic situation is weaker than normal. However, Swedish business believes there will be an improvement in the situation over the coming six months, according to the Riksbank's corporate survey in May.

"Trade believes that the worst is behind them and sees some signs of increased sales since last autumn. They also have a more optimistic view of the future, as they expect household demand to be stimulated by lower inflation and decreasing interest payments," writes the Riksbank in a press release.

This is reflected in companies that sell to households planning to raise prices during the year, assuming demand strengthens.

In industry, the economic situation is described as satisfactory but unchanged. According to export companies, there is no indication that demand will pick up in the near future. At the same time, construction is being maintained by public investments, while household demand for new homes remains low.

Companies' assessments are based on hopes of low inflation and decreasing interest rates.

"Several therefore express some concern that the development may not turn out as expected. The development is considered fragile," writes the Riksbank.

The survey is based on interviews with representatives from 40 companies and industry organisations.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers

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