“The government should point with its whole hand and pause the amortization requirement. The households are worried and it does not need to be evaluated or investigated”. That’s what it sounded like when the finance minister talked about the amortization requirement in September last year.
According to Svantesson, she made the promise at a time when it was believed that inflation would land at three percent in 2023, but just a few months later the forecast landed at several percentage points higher.
– There was another forecast for 2023, and in December gave a clear assignment to the Financial Supervisory Authority to evaluate this valve that allows you to get a break, she says.
FI: Bad idea to drop the requirement
Even when the Moderates made the promise, the authorities warned that a reduction was a bad idea. According to Henrik Braconier, chief economist at the Financial Supervisory Authority, the requirement has been introduced to ensure that households take on slightly less debt and to reduce the risks.
– It has meant that we got into this crisis that we are in now a little less indebted and thus a little less sensitive to interest rates. I think it’s good to take that with you into the next crisis to come. It is basically a requirement that we think should exist over time, he says.
Svantesson: Takes responsibility for a budget that does not drive inflation
According to the Minister of Finance, the government is taking responsibility for a budget that does not drive inflation and that eases when it comes to fuel prices, electricity costs and the costs of people struggling on small margins.
– If we do too many things, it’s like throwing money on an inflationary bonfire – the money burns up but inflation will continue.
“It’s important that we do one thing at a time”
So it was the new inflation forecast for 2023 that caused Elisabeth Svantesson to swing around the amortization requirement.
What do you say to the voters who voted for you and now feel cheated?
– Those who voted for us want us to take responsibility for the situation we are in right now. When I see that the forecasts are changing quickly and we see that the recession seems to be long, it is important that we do one thing at a time, and do the right thing.
See the full interview in Agenda on SVT Play.