Having finally begun its tightening cycle this week, we forecast the Norges Bank to raise its policy rate to 1.50% by end-2022, which is more hawkish than is currently priced into the market. Meanwhile, although repo rate hikes are well down the agenda at the Riksbank, we think that policymakers in Sweden will allow the balance sheet to shrink next year by more than most assume.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services