Source: Sharecast
Announcing its third interest rate cut this year, the central bank said it decided to make the cut to "provide further support to the recovery and to stabilise inflation at the target in the medium term".
Looking forward, Riksbank said that if the outlook for inflation and economic activity holds, the policy rate is expected to remain at this level "for some time to come".
"However, the outlook for inflation and economic activity is uncertain, and there are factors that could lead to a different design of monetary policy going forward," it said.
"The uncertainty over how long inflation will remain elevated has declined, but still remains to some extent. There is also uncertainty regarding households’ saving behaviour and how much the tax cuts announced by the Government will affect economic activity and inflation.
"Geopolitical conflicts, the unpredictability of the US trade policy and weak government finances in several countries are at the same time all continuing to shape the risk outlook abroad."
