Eagerly awaited interest rate cuts in a turbulent world
The economic situation is awakening increased optimism, despite worsening geopolitical risks. Falling inflation will persuade central banks to start cutting key interest rates this spring and summer. We continue to believe that a soft landing is possible and that the slowdown in the world economy will be mild. The Swedish economic outlook has also improved, and will increase slightly (0.1 per cent) this year. Sweden’s Riksbank will cut its policy rate in May.