The latest monetary policy meeting minutes show that Riksbank Deputy Governor Goran Jansson said that "if the economic outlook in the draft report remains unchanged," raising the policy rate to 2% in 2026 would be "reasonable."

He also noted that a further policy rate increase will most likely be needed in the first half of 2027, a judgment that "appears justified."

Jansson said that in recent months there have been "clear signals that the foundation of the economic recovery is more solid," with the utilization of production and labor resources returning to normal levels faster than expected.

"Therefore, advancing the normalization of the policy rate earlier is only logical," he said.

He concluded: "Overall, combined with the economic trajectory in the current forecast, I believe the policy rate path is set slightly on the high side."