Sweden Revises Upward Inflation Forecast for 2024 Amid Global Uncertainty

Sweden's government has increased its inflation forecast for 2024 to 2.5%, up from the previous estimate of 2.0% in December. The forecast for 2026 was also adjusted upward to 1.9% from 1.8%. The government cited global uncertainty as a factor influencing the revised projections. While growth forecasts were slightly raised for this year and next, officials are closely monitoring price pressures. Despite earlier declarations that the battle against inflation had been won, recent data showing higher-than-expected inflation has raised concerns. The Riksbank is scheduled to announce its latest rate decision, with expectations of maintaining the current policy rate.