Sweden’s big interest rate hike follows other central banks
STOCKHOLM (AP) — Sweden’s central bank followed other central banks in undertaking a big increase to its key interest rate to combat inflation, saying Thursday that high prices are undermining people’s purchasing power and making it tough for households and companies to plan their finances.
Riksbanken said the hike of three-quarters of a percentage point pushes the key rate to 2.5% — the highest in 14 years, according to Swedish news agency TT — and is meant “to bring down inflation and safeguard the inflation target.”