The economic commentator on the weak krona: It’s a sale in Sweden

On Monday morning, one euro cost SEK 11.96, which is a new record low.

There are markets that benefit from the weak krona. Those who come from countries with other currencies and want to buy summer cottages, businesses or used cars in Sweden, may be more inclined to take advantage.

– There is a sale in Sweden right now for those who have dollars or euros to buy with, says Alexander Norén

But that’s about where the positive ends. Norén describes it as that with the weak krona we are importing inflation. This means that imported goods, such as many foodstuffs, will increase in price.

Can drive up interest rates

The weak krona will also make it more difficult to fight inflation in Sweden, which Alexander Norén believes risks leading to the Riksbank raising interest rates, and mortgage interest rates thus rising even more.

– Then additional hundreds and thousands will be taken out of your wallet, as a result of the weak krona, he says.

In the clip, you see economic commentator Alexander Norén explain what the weak krona will mean for your personal finances.

sv-general-01