Svensson attacks Sweden’s monetary policy framework

svensson

Lars Svensson, the deputy governor of the Riksbank, on Wednesday expressed reservations over the direction of monetary policy in Sweden and flagged problems with the central bank's use of the repo rate to address financial stability issues.

At a conference in Stockholm, Svensson said: "Monetary policy appears to have been aimed at trying to limit the increase in house prices and in household indebtedness. However, no thorough analysis has been made of whether house prices and indebtedness entail

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