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Sweden shrugs off euro zone debt crisis

Reuters said strong exports drove a stellar performance for Sweden's economy in the second quarter, shrugging off the effects of the euro zone debt crisis and supporting the central bank's view there is no need to cut interest rates.

"This sends a message of strength about the Swedish economy and the crown is strengthening on this," Michael Grahn, economist at Danske Markets, told the newswire.

"We had expected a rise but this is even stronger. The big surprise is net exports".

The economy grew 1.4 percent from the first quarter and 2.3 percent from a year earlier, the statistics office said on Monday. Exports - key to the strength of an economy which is growing robustly in stark contrast to most of Europe - grew 1.7 percent from a year earlier, Reuters said.

 

Last Updated (Monday, 30 July 2012 10:32)

 

Comments 

 
#1 2012-07-30 22:09
Considering how much Sweden depends on trade with other countries, it is surprising how strong the Swedish economy has been through this entire international recession and financial crisis. It is the result of prudent and honest financial policy on the part of the government that has kept the budget balanced and the national debt low relative to GDP. Such policies will no doubt be adhered to subsequent to the election, whichever political party or coalition will be responsible.
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