Lower corporate profits hit Sweden’s economy
Sweden’s current accounts took a hit last quarter because of lowered corporate profits.
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The balance of payments for the third quarter dropped 29 billion kronor ($4.2 billion) to a surplus in the current account of 53.1 billion kronor and the weakening is foremost due to a decline in investment income and a receding trade, the statistics office said Wednesday.
The value of exports and imports both decreased by 18 percent last quarter.
The country also suffered from large net outflow in the financial account. The financial account resulted in a net outflow of roughly 174.7 kronor, of which direct investments accounted for more than half.
The financial accounts were also weighed down by Vattenfall’s acquisition of the Dutch energy company Nuon, which contributed to the large net outflow, Statistics Sweden pointed out.
The travel sector made a net inflow for the first time as foreign travellers’ consumption while travelling in Sweden swelled by 6 percent.
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Last Updated (Wednesday, 02 December 2009 09:59)
