Monetary Policy Report, November 2020
Central bank: riksbank | Type: statement | Date: 2020-11-26

Monetary Policy Report, November 2020
The increased spread of infection and tighter restrictions will lead to a new downturn in the Swedish economy. To give further support in an uncertain time, improve the conditions for a recovery and help inflation rise towards the target of 2 per cent, the Executive Board has decided to expand and extend the Riksbank’s asset purchases from SEK 500 billion to up to SEK 700 billion up to 31 December 2021. The repo rate is held unchanged at zero per cent and is expected to remain at this level in the coming years. By expanding and extending the asset purchase programme, the Riksbank is making it clear that comprehensive monetary policy support will be available as long as it is needed.
Share by email - Open in new window
Share on - Open in new window
Share on - Open in new window
 - Open in new window
 - Open in new window
Applies from 2 December 2020
Repo rate, table
IN BRIEF – Monetary policy November 2020
The coronavirus pandemic has had a dramatic impact on the global economy this year, with sharp falls in GDP and rapidly rising unemployment. Governments and central banks around the world have implemented extensive support measures to alleviate the severe decline in the economy.
During the summer, a recovery was initiated, but in recent months the spread of infection has increased again and restrictions have been tightened in many countries. This setback shows the great uncertainty that the global economic recovery is still facing. The economic prospects for Sweden and abroad have been revised down, and the economy is expected to weaken again in the near term.
The recovery is expected to continue next year, but there is a long way back from the difficult economic situation in which the global economy presently finds itself. As was the case in September, it is expected to take time before economic activity is back at more normal levels, which means it will also take time before inflation is more permanently close to 2 per cent, in Sweden and many other countries.
To support economic developments and thereby contribute to inflation rising towards the target, the Executive Board has decided to extend the programme for asset purchases until 31 December 2021, to expand the envelope (by SEK 200 billion) to a total amount of up to SEK 700 billion and to retain the repo rate unchanged at zero per cent.
Press release: Zero policy rate and extended asset purchases
(pdf | 506,8 kB)
Monetary Policy Report November 2020
(pdf | 2,5 MB)
Slides: Monetary Policy Report November 2020
(pdf | 4,3 MB)
Numerical data: Monetary Policy Report November 2020
(xlsx | 1013,9 kB)
Annex to the minutes B: Programme for the Riksbank's asset purchases for monetary policy purposes in 2021
(pdf | 156,2 kB)
Article: The long-term economic effects of the pandemic are uncertain
(pdf | 477,7 kB)
Article: Distributional effects of the Riksbank's measures
(pdf | 715,5 kB)
Article: How is the Riksbanks work affected by climate change
(pdf | 745,2 kB)
Economic commentary: How does climate change affect the long run real interest rate?
(pdf | 886 kB)
Slides from the press conference 26 November 2020
(pdf | 707 kB)
Related content
Repo rate, deposit and lending rate
Voting by the Executive Board on interest rate decisions
(xlsx | 160,4 kB)
Minutes of the Monetary Policy Meeting held on 25 November 2020
(pdf | 496,7 kB)
Was this information helpful?
After your answear a textbox appears
Do you want to leave a comment?
Questions?
Visit our FAQ on kundo.se (opens i new window).
Thanks for your feedback!
Your comment could not be sent, please try again later
Updated 26/11/2020