Sweden GDP grew at an impressive 5.3 percent annualized pace in Q4 2015, led by strong growth in final domestic demand. Robust GDP growth and declining unemployment should lead to inflationary pressures.
Broad-based Strength: Data released this morning showed that the Swedish economy grew 1.3 percent (not annualized) in Q4 2015. The surge in activity left real GDP 4.5 percent higher on a year-over-year basis, the strongest pace in nearly five years.
When Will Strong Growth Lead to Inflation? The Riksbank, Sweden’s central bank, is among the growing number of central banks that has adopted a negative policy rate.
Read the complete commentary here: sweden-q4-gdp-20160229