Swedish Central Bank Raises Policy Interest Rate by 0.5 Percentage Points

[Asia Economy Reporter Ki-min Lee] The Swedish central bank announced on the 30th (local time) that it has decided to raise the policy interest rate from 0.25% to 0.75%.

The Swedish central bank explained that inflation continues to rise rapidly, and this decision was made to bring inflation back to the target level.

Previously, the Swedish central bank raised the policy interest rate from 0% to 0.25% in May. AFP reported that this rate hike is the steepest since 2000.

The Swedish central bank expects further increases in the policy interest rate, forecasting it to approach 2% by early next year.

This decision comes amid soaring prices, as countries around the world, including the United States, have been raising their benchmark interest rates one after another.

The European Central Bank (ECB) also raised its benchmark interest rate by 0.25 percentage points in July on the 9th and announced plans to raise it again in September.