The interest rate is still low - increases support purchases

The outcome was the expectation of today's interest rate announcement from the Riksbank, at least with regard to the policy rate. It now remains at zero percent, the level at which interest rates have been at since January.

"Although the economy is gradually recovering over the next few years, it will be delayed, just as for the outside world, before resource utilization in the Swedish economy is back to more normal levels," the Riksbank writes.

Therefore, they are now choosing to increase the support purchases of bonds and will, among other things, start buying corporate bonds.

The framework for asset purchases is expanded from SEK 300 billion to SEK 500 billion.

"The measures contribute to keeping the general interest rate level in the economy and to ensuring that there is access to financing at a low cost," writes the Riksbank, which also forecasts a 4.5 percent reduction in GDP in 2020, thereafter for to increase by 3.6 percent in 2021 and 4.1 percent in 2022.