National Debt
- Articles
- National Debt
The national debt falls to historically low levels
The latest update from the Swedish National Bank reveals that Sweden's national debt now amounts to 1,105 billion SEK, which corresponds to 18.48% of the country's GDP. Despite an increase in the government's borrowing needs, this is a remarkable decrease from previous months and years.
A positive trend
If we look back over the past few months, we see that the national debt in April 2025 was 1,177 billion SEK, corresponding to 19.68% of GDP. In March of the same year, it was at 1,114 billion SEK, or 18.62% of GDP. The latest figure indicates a continued downward trend, which is a positive sign for the Swedish economy.
Historical perspectives
To understand today's figures, it is important to put them in a historical context. In 1995, the national debt amounted to 1,370 billion SEK, which corresponded to a staggering 71.87% of GDP. Compared to today's 18.48%, we see a dramatic improvement over the past three decades.
During the 1980s and 1990s, the national debt was often over 50% of GDP, but since then, Sweden has managed to implement policies that have significantly reduced the debt. This reduction has not only strengthened Sweden's economic position internationally but has also created room for investments and reforms that benefit citizens.
What does this mean for you?
A lower national debt means that the government has more financial room to act when needed, such as during economic crises or to finance important social projects. For the individual citizen, this can lead to more stable taxes and the possibility of improved public services.
Future outlook
Despite the positive figures from today, the Debt Office warned in February 2024 that the national debt may increase in the coming years due to a budget deficit. The deficit is expected to reach 84 billion SEK in 2024 and 50 billion SEK in 2025, partly due to a capital injection to the Swedish National Bank and increased government spending.
But there are glimmers of hope. The economy is expected to grow by over 2% next year, which could help improve the budget balance and thus keep the national debt under control.
In summary, today's figures show that Sweden continues to manage its national debt responsibly, which in turn can create a more stable economic future for all citizens.
Sweden's national debt
-
Swedish Central Bank Lowers Interest Rate: How Does It Affect Your Economy?
Wed, 18 Jun 2025 - 14:02
