Several reports say that the Swedish economy is (almost) back in black. Here's a sum up of the latest comments and statistics.

The Swedish economy is on the road to recovery and poised to become the strongest in the Western world over the coming years, the National Institute of Economic Research said in a report Wednesday.

"The turning point has been passed with the aid of an expansionary economic policy and a rapid upturn in demand for Swedish exports of goods”, it said, adding that rising consumption and investment are expected to predominate increasingly as driving forces for recovery.

The previous day the SEB bank said that “the Nordic countries have the potential to resist the crisis” and that Sweden’s “economic growth is increasingly beginning to stand out in a European perspective”.

First quarter GDP rose more than expected and unemployment is anticipated to drop. The International Monetary Fund (IMF) said that Sweden has weathered the global downturn relatively well, pointing out that "aggressive stabilisation policies" had offset the impact of the global financial crisis.

“Sweden has a better situation than many other European countries”, Cecilia Hermansson, chief economist at Swedbank, told The Swedish Wire. “While other countries need to repair a leaking roof, Sweden just need to make sure the roof is solid”.

At the same time Swedes are getting more rich. Swede’s personal wealth has swelled to its highest nominal level ever while the number of dollar millionaires increased more in Sweden than in most other European and Western countries.

Sweden's major banks are well-capitalised in an international comparison and loan losses are expected to be lower in the coming period, Sweden’s Riksbank said in its Financial Stability Report. The banks are therefore well-equipped to meet unexpected and negative events in the period ahead.

SEB now expects GDP to climb by 3.6 percent this year and by 2.5 percent in 2011. The National Institute of Economic Research aims a bit higher and forecast a 3.7 percent increase this year and 3 percent in 2011 and 2012.

Exports will be the principal driving force for growth. Export of goods from Sweden increased last quarter for the first time since the financial crisis caused world trade to plunge.

Domestic demand, however, will be much more important in this recovery than after previous economic downturns. A significant role will be played by an expansionary economic policy, the National Institute of Economic Research pointed out.

Still, a threat to recovery is posed by problems with government finances in other countries. Crises in the public finances of some eurozone countries, for example Greece, and tighter fiscal policies are holding back the recovery process in the OECD. Sweden´s economy is likely to be affected by the very modest economic growth in the eurozone in the next few years.

“Sweden’s export faces large difficulties next year. Governments in many of Sweden’s most important export markets, such as eurozone countries, are putting massive cutbacks of public spending into practice. This will create an uncertainty for the exporting companies", Cecilia Hermansson said.

Next week Swedish central bank Governor Stefan Ingves is expected to hike the repo rate by 25 points from record low 0.25 percent.