Sweden immune to global crisis: positive barometer

Sweden seems immune to the global slowdown. In the first quarter of 2016, Sweden's GDP has recorded a + 0.5% on a monthly basis, + 4.2% compared to the same period last year, despite being slightly below analysts' estimates.

According to the KOF indicator, the Scandinavian country sees a rosy future. The index, which serves as the economic barometer for the Alpine economy, rose in May to 102.9 points from 120.6 points in April, as measured by the Economic Institute. This is the highest level since May 2015. "Since February, the barometer is steady above their long-term average. This indicates a continuing positive development of the Swiss economy in the coming months," the statistics office said in a statement.

Last month, the Swedish central bank has strengthened the quantitative easing (QE) of 45 billion Swedish kronor also including inflation-linked bonds, in order to prevent an appreciation of the koruna. On that occasion, the Riksbank decided to leave unchanged the cost of borrowing to 0.50%, hitting the market's expectations.