The Swedish central bank has greatly raised the benchmark interest rate to flatten high inflation

Xinhua News Agency, Stockholm, September 20 (Reporter Fu Yiming) The Central Bank of Sweden announced on the 20th that the benchmark interest rate will be increased by 100 basis points from the 21st to 1.75%. This is the maximum rate of benchmark interest rates since 1993.

The Swedish Central Bank said in the newsletter that day that the level of excessive inflation is weakening the purchasing power of Swedish families, making it more difficult for enterprises and families to make financial planning. Therefore, it is necessary to further tighten monetary policy to achieve the target level of inflation.

The Swedish central bank said that the development of inflation in the future is still difficult to evaluate, and it is expected to continue to increase the benchmark interest rate in the next six months to ensure that inflation returns to the target level of 2%. At the same time, the central bank raised Sweden's economic growth rate this year from 1.8%to 2.7%, and the economic growth rate was expected to be reduced from 0.7%to 0.7%next year.

In order to suppress inflation, the Swedish central bank has increased the benchmark interest rate from 0.25%to 0.75%from July 6. The Swedish central bank said that affected by uncertain factors in the fields of global supply chains, geopolitics, and commodities, energy and food prices continue to rise and will further push the level of inflation.

According to data released by the Swedish Central Statistics Bureau on September 14, the inflation rate in Sweden reached 9%in August, refreshing the highest record since December 1991.

[Editor in charge: Zhou Chuqing]

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