Latest news with #StatisticsSweden
Local Sweden
3 days ago
- Business
- Local Sweden
Swedish central bank cuts key interest rate to 2 percent
Sweden's central bank on Wednesday cut its key interest rate for the first time since February in an effort to boost a weak economy, as it cited risks linked to trade tensions and the escalating conflict in the Middle East. Advertisement The bank cut its key rate by a quarter point to two percent and said another cut this year was possible. "The economic recovery that began last year has lost momentum, and inflation is expected to be somewhat lower than in the previous forecast," the Riksbank said in a statement. The country's economy contracted by 0.2 percent in the first quarter of the year, dragged down in part by a slowdown in household consumption. Swedish inflation fell to 0.2 percent year-on-year in May, according to Statistics Sweden. The inflation measure used by the Riksbank to guide monetary policy, CPIF, which is adjusted for interest rates, came in at 2.3 percent – close to the central bank's two-percent target. The outlook for the economy and inflation is "uncertain", Riksbank said. "There are substantial risks linked to trade policy and the geopolitical tensions, not least as a result of the escalating conflict in the Middle East, which could affect economic developments abroad," it said. "These risks and the questions about the strength of domestic demand mean that it is uncertain how quickly the Swedish economy will recover," the bank added. Advertisement The Riksbank's decision to cut its rate was widely expected by economists, and the central bank said "the forecast for the policy rate entails some probability of another cut this year." Economists at bank Nordea noted that the central bank "is in no hurry to cut rates again". "In our view, the economic recovery will continue, reducing the need for additional rate cuts," Nordea Chief Analyst Torbjörn Isaksson said in a note.
Local Sweden
4 days ago
- Business
- Local Sweden
Sweden raises work permit salary threshold to almost 30,000 kronor
Statistics Sweden has released fresh median salary figures, pushing up the work permit salary threshold for all new applicants with immediate effect. Advertisement Sweden's median salary rose to 37,100 kronor in 2024, according to new figures posted by Statistics Sweden at 8am on June 17th. This means there's a new minimum monthly salary non-EU workers have to earn to be eligible for a work permit, as the work permit salary threshold is tied to 80 percent of the median salary. It previously stood at 28,480 kronor before tax, but as of June 17th it's gone up to 29,680 kronor. Salaries also need to be in line with industry standards or collective bargaining agreements to qualify for a work permit. It's the most recently published median salary at the time of your application (not the time of a decision) that determines how much you need to earn in order to be eligible for a work permit, so the new figure does not affect applications which are already in progress. The next median salary update will be published by Statistics Sweden in June 2026. Are there any plans to raise the salary threshold further? Yes. The government plans to raise the work permit threshold for new permits to 100 percent of the median salary at the time of application, with exemptions for some categories of workers. This is still winding its way through the legislative process, which means it is not yet a done deal. The proposed starting date for the widely criticised proposal was originally June 1st, 2025, but that deadline wasn't met. Sweden's Migration Minister Johan Forssell told The Local in May that 'no formal decision' has been made on where the final salary threshold will actually end up. The government in February asked the Migration Agency to present a list of which professions should be exempt from the salary threshold by August 1st, suggesting that the original plan to roll out the new threshold on June 1st will be postponed until at least the autumn. Advertisement This isn't the first time that we've seen an indication that the government hasn't fully committed to raising the threshold to 100 percent of the median salary. In January, Employment Minister Mats Persson said that his party, the Liberals, would even be willing to lower the threshold. There would be a one-year grace period for work permit renewals, so the current rule (80 percent of the median salary) would continue to apply for any applications for extensions submitted to the Migration Agency for twelve months from the date the law is implemented.
Local Sweden
5 days ago
- Business
- Local Sweden
Sweden set to raise work permit salary threshold this week
Sweden's yearly median wage is set to be released on Tuesday, which means the salary threshold for work permit holders is also expected to rise with immediate effect. Advertisement Sweden's number-crunching agency, Statistics Sweden, is expected to release the new median salary figure when it publishes its annual statistics on the Swedish labour market at 8am on June 17th. The Local will publish it as soon as we have it. The median salary currently stands at 35,600 kronor (technically that's the median in the year 2023, and the figure to be released on Tuesday is for the year 2024). In the past five years, it has risen on average 940 kronor every year, with higher increases in recent years, so you can almost certainly expect it to increase on Tuesday as well. Last year the median salary went up by 1,400 kronor. So why does this matter? Well, the work permit salary threshold – the minimum a non-EU foreigner has to earn to be eligible for a work permit – is set at 80 percent of the median salary. That means it is currently 28,480 kronor a month before tax, and it will likely rise on Tuesday. In other words, any work permit applicants (both first-time applications and extensions) applying before June 17th have to earn at least 28,480 kronor a month to qualify. If you apply on June 17th or later, whatever the new figure is will apply to you. Advertisement Salaries also need to be in line with industry standards or collective bargaining agreements, so the salary threshold is only the minimum for work permits. It's the most recently published median salary at the time of your application (not the time of a decision) that determines how much you need to earn in order to be eligible for a work permit, so the new figure will not affect applications already in progress. Are there any plans to raise the salary threshold further? Yes. The government plans to raise the work permit threshold for new permits to 100 percent of the median salary at the time of application, with exemptions for some categories of workers. This is still winding its way through the legislative process, which means it is not yet a done deal. The proposed starting date for the widely criticised proposal was originally June 1st, 2025, but that deadline wasn't met. Sweden's Migration Minister Johan Forssell told The Local in May that 'no formal decision' has been made on where the final salary threshold will actually end up. Advertisement The government in February asked the Migration Agency to present a list of which professions should be exempt from the salary threshold by August 1st, suggesting that the original plan to roll out the new threshold on June 1st will be postponed until at least the autumn. This isn't the first time that we've seen an indication that the government hasn't fully committed to raising the threshold to 100 percent of the median salary. In January, Employment Minister Mats Persson said that his party, the Liberals, would even be willing to lower the threshold. There would be a one-year grace period for work permit renewals, so the current rule (80 percent of the median salary) would continue to apply for any applications for extensions submitted to the Migration Agency for twelve months from the date the law is implemented.
Bloomberg
11-06-2025
- Business
- Bloomberg
Swedish Support for Joining Euro Fades as Krona Strengthens
Swedes' enthusiasm to adopt the euro fell for the first time in four and a half years after a recent run of strength for the krona, a survey showed. The share of Swedes who want to replace the krona with the euro fell to 32% from 34.4% a year earlier, according to the poll from Statistics Sweden on Wednesday. The share of proponents had a margin of error of 1.5%. Just under a half are against.
Local Sweden
09-06-2025
- Business
- Local Sweden
Work permits and laughing gas: What changes in Sweden this summer?
In many ways, Sweden grinds to a halt during the summer, as workers head out to the countryside for a well-earned rest. That's not quite true though – here are the new laws and other changes in store for the next few months. Advertisement June The salary threshold for work permits was originally set to be raised to 100 percent of the median salary on June 1st. As readers will have realised by now, that didn't happen. Sweden's Migration Minister Johan Forssell told The Local in May that 'no formal decision' has been made on where the final salary threshold will actually end up. What we do know, though, is that the government in February asked the Migration Agency to present a list of which professions should be exempt from the salary threshold by August 1st, suggesting that the original plan to roll out the new threshold on June 1st will be postponed until at least the autumn. Staying on the topic of work permits, Statistics Sweden is set to release new figures on June 17th. This may not sound like a big deal, but these are the figures which affect the salary threshold for work permit applicants in Sweden. The most recent figures from June last year put the median salary at 35,600 kronor, meaning that work permit holders applying for a new permit or an extension need to earn 80 percent of this – 28,480 kronor – to qualify for a permit. This was a hike of over a thousand kronor compared with the year before. Advertisement Once the new median salary figure has been released, the work permit salary requirement will (almost certainly) rise. This will only apply to applications submitted from that date – the threshold is determined by the most recent salary figures at the time of application, not at the time a decision is made. The Riksbank central bank is also set to make a decision on whether or not to cut Sweden's key interest rate on June 18th. A number of Swedish banks, among them Handelsbanken and Swedbank, predict a cut in June, due in part to lower than expected inflation in May. There will also be interest rate announcements in July and August. There are a couple of political events this month – Järvaveckan on June 11th-14th in Stockholm and Almedalen on Gotland between June 23rd and 27th. Midsummer falls on June 20th – and it's the last public holiday of the year (until Christmas at least), so make the most of it. Advertisement July A lot of new laws usually come into force in Sweden on July 1st. Sweden's former government introduced a flight tax in 2018 to lower the impact of flights on the climate. That will be abolished from July 1st, which the current government and the Sweden Democrats expect will shave 80 kronor off the price of domestic and European flights. Flights outside Europe are expected to be around 325 kronor cheaper. The sale of laughing gas will also be banned from July 1st in cases where there is a suspicion it will be used for recreational purposes. There will also be a ban on selling it to minors and a limit on the amount which can be purchased at one time, set at 18 grams. Sellers found breaking the new law risk a fine or a prison sentence of up to six months. Advertisement A new law making it easy to change legal gender is also set to come into force from July 1st. The law would allow qualified doctors, psychologists, psychotherapists and healthcare counsellors (kurator) to write up a document for patients wishing to change gender, which would then be processed by the National Board of Health and Welfare (Socialstyrelsen). If the request to change legal gender is granted, the Tax Agency would be responsible for changing their gender in the population register, as well as altering the second-to-last number in the applicants' personal number – women have even numbers while men have odd numbers. Tax on beer will also be cut from the beginning of July for small independent breweries – defined as breweries producing a maximum of three million litres of beer per year. The size of the tax cut is determined by the breweries' yearly production, with a maximum cut of 50 percent. If you got your final tax bill at the beginning of April, you'll have to pay any arrears by July 14th. August The Migration Agency is set to present its list of exceptions to the work permit salary threshold to the government by August 1st. That doesn't mean that they will come into force on that date, but it does mean that we should at least have more information about which professions could be included. Swedes start heading back to the office after their summer holidays, with Monday July 28th and Monday August 4th likely to be the big return days this year. The majority of workers take at least a couple of weeks off during July, with many taking three or even four. This means that replies to all those unanswered emails you've sent over the last month will start ticking into your inbox as Sweden's workers return to their desks. The autumn semester in schools and universities gets under way in August and early September, although the exact date depends on where in Sweden you live. There are a couple of festivals happening this month – music festival Way out West in Gothenburg from August 7th-9th, and Malmöfestivalen between August 8th and 15th. Unfortunately there are no public holidays in August, although this doesn't mean there's nothing to celebrate. The crayfish season officially starts on August 7th this year, so be prepared for crayfish-themed decorations to start popping up in your local supermarket, and find some friends (preferably with access to a summer house) to hold your very own kräftskiva (crayfish party). As with most Swedish celebrations, expect drinking songs, lots of snaps, crispbread, cheese, and most likely some sort of västerbottenpaj – a quiche featuring Sweden's favourite cheese, västerbottensost. Here's our guide to six essential Swedish drinking songs for crayfish party season.
