National Debt
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Sweden's national debt rises – now over 1,221 billion SEK
Today's national debt in numbers
Sweden's national debt today amounts to 1,221,746 million SEK, which corresponds to approximately 1,221.7 billion SEK. This means that the national debt represents 19.11 percent of the country's GDP. After a temporary decline at the beginning of the year, an increase is now visible again, both in SEK and as a share of GDP.
The national debt is currently lower in percentage terms than 10, 20, or 30 years ago – but it has risen by almost 180 billion SEK in just two years.
Drivers and financing
The national debt is affected by the state's budget balance – that is, the difference between revenues and expenditures. If the state runs a deficit, it needs to borrow, primarily by issuing government bonds and treasury bills. Riksgälden is responsible for managing the state's borrowing and payments. When expenditures increase or revenues decrease, for example during a recession or major investments, the debt often rises.
Interest costs and maturity
The interest cost on the national debt is influenced by the general interest rate environment. When interest rates rise, it becomes more expensive for the state to borrow, which can lead to increased expenditures in the state budget. Riksgälden tries to spread the debt over different maturities to reduce risk, but a growing debt makes the state more sensitive to interest rate changes.
Historical context
- The national debt was at its highest in relation to GDP during the 1990s, with over 70% of GDP around 1995–1997.
- Today, the debt ratio (share of GDP) is significantly lower than 10, 20, or 30 years ago.
- The national debt has increased by almost 180 billion SEK in two years (from April 2024 to March 2026).
- During the pandemic in 2020–2021, the debt rose, but then temporarily fell before increasing again.
- In the 1970s, the national debt was below 20% of GDP, but grew rapidly during the 1980s and 1990s.
What does this mean for households and businesses?
A higher national debt can, in the long run, affect interest rates and how much the state can invest in areas such as welfare or infrastructure. If interest costs increase, they take up a larger share of the state budget, which can affect everything from taxes to public services. At the same time, Sweden's debt level is low internationally, which provides a certain sense of security for both households and businesses.
Outlook
How the national debt develops in the future depends on the economy, interest rates, and political decisions. If growth picks up and state revenues increase, the debt can decrease as a share of GDP, even if it continues to rise in SEK terms. Conversely, new expenditure increases or an economic downturn could lead to the debt growing faster.
Frequently asked questions about the national debt
- What is the national debt?
The national debt is the sum of the state's total loans, meaning how much the state owes to lenders both in Sweden and abroad. - Who is responsible for managing the state's loans?
Riksgälden is responsible for the state's borrowing and ensuring that payments are handled in a secure and cost-effective manner. - How does interest affect the national debt?
When interest rates rise, it becomes more expensive for the state to borrow, which increases interest costs and can affect the state budget. - What does the national debt's share of GDP mean?
It shows how large the debt is in relation to the size of the economy. A lower share implies that the debt is more manageable. - Can private individuals buy government bonds?
Yes, both private individuals and companies can buy government bonds via banks or fund brokers acting on behalf of Riksgälden.
Sweden's national debt
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