Sweden’s central government will need to increase its borrowing due to a growing budget deficit expected for both 2026 and 2027, mainly on the back of an expansionary fiscal policy, the National Debt Office said.
The NDO expects a budget deficit of 103 billion Swedish kronor ($10.85 billion) for 2025, up from 93 billion kronor in the previous forecast in May, it said in a borrowing review on Thursday.
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