• Sweden's news in English
 
app_header_v3

Borg calls for action over strong krona

The Local · 8 May 2013, 13:32

Published: 08 May 2013 13:32 GMT+02:00

"The krona could become an issue, particularly from the central bank perspective - there are some good arguments for them to consider how to look at the krona," Finance Minister Anders Borg told Bloomberg News on Wednesday.

SEE ALSO: Get the latest exchange rates and transfer money on The Local's Currency page

"It should be based on fundamentals and obviously priced on the market, but there are also some risks you'll see too much of an appreciation," he added.

"That's obviously one of the worries we have."

Bloomberg reported that Borg's comment sent a possible U-turn signal from last year when he vowed not to tamper with exchange rates.

Less than a month ago, Borg downplayed concerns about the effects of a strong krona when he presented the government's spring budget bill.

The Swedish krona has climbed 6.5 percent over the past year, putting it in Bloomberg's top-ten watch list for strengthening currencies in developed markets.

Since 2008, the krona has climbed 28 percent compared to the value of the euro, Bloomberg noted.

The strong krona has already been put in the spotlight by Stefan Ingves, head of the Swedish central bank, the Riksbank, when he said it was not helping his efforts to keep to Sweden's inflation goal.

Borg's comments, meanwhile, angered the shadow finance minister Magdalena Andersson.

"We have an independent central bank that does not take cues from the government," the Social Democrat financial spokeswoman told the TT news agency.

Story continues below…

"I think the minister is pushing the boundaries? Does he mean that the Riksbank should listen to the government?" Andersson added.

"He should spend more time on his own turf, which is fiscal policy."

TT/The Local/at

Follow The Local on Twitter

The Local (news@thelocal.se)

Your comments about this article

Today's headlines
Sweden moves to battle high rate of drug deaths
Sweden has among Europe's highest drug-induced mortality rates. Photo: Stian Lysberg Solum/NTB/TT

Sweden has among the highest number of drug-related deaths in the EU despite its zero-tolerance policy. The government wants to find out why.

Human skeleton found on abandoned farm in Sweden
Police at the farm in Hörby. Photo: Johan Nilsson/TT

Police suspect human remains found in a well on an abandoned farm in rural Sweden belonged to a man who was murdered.

The Local List
You'll never really be Swedish without trying this weird food
Kebab pizza. It exists. Photo: Maja Suslin/TT

The Local's intern Saina Behnejad on her love-hate relationship with Swedish cuisine.

Sweden's Stenson pulls out of Barclays with injured knee
Henrik Stenson at the Olympics this summer. Photo: AP Photo/Alastair Grant

Henrik Stenson's injury throws doubt on Europe's chances at next month's Ryder Cup.

The Local Recipes
How to make this delicious Swedish crayfish pasta
Swedish crayfish pasta. Photo: John Duxbury/Swedish Food

Combine the Swedish favourite of crayfish with pasta to impress with this simple yet tasty dish.

Drunken Christmas goat burner risks four years in jail
The Christmas goat looks at the fireworks and contemplates its future. Photo: Mats Åstrand/TT

His singed eyebrows were a dead giveaway.

Joe Biden: 'Sweden has shown great leadership'
Joe Biden, left, and Stefan Löfven. Photo: Anders Wiklund/TT

US Vice President Joe Biden praised Sweden for "punching way above its weight" in the global refugee crisis.

Nepal's Sherpas rebuild Swedish mountain paths
Kebnekaise, Sweden's highest mountain. Photo: Stockholms Universitet

Nepalese sherpas have been called in to improve hillwalking safety on Sweden's highest mountain Kebnekaise.

23 people tricked into renting the same Malmö apartment
Sweden's housing market is notoriously tricky. Photo: Janerik Henriksson/TT

"I have never felt so stupid and so conned."

Sweden on standby to help earthquake-hit Italy
Rescue workers search through the debris. Photo: AP Photo/Sandro Perozzi

Swedish authorities are ready, if asked, to quickly assist Italy as it recovers from a deadly earthquake.

Sponsored Article
Malmö to host global skateboard championship
Travel
What are Sherpas doing on Sweden's highest mountain?
Sponsored Article
Life in Jordan: 'Undiscovered treasure'
Gallery
People-watching: August 24th
The Local Voices
'I want to be a businesswoman but I don’t care about money'
Blog updates

23 August

A Summer in Sweden (The Diplomatic Dispatch) »

"For our first year here in Sweden we decided to have all our holidays in Sweden.…" READ »

 

22 July

After the horror, carry on regardless (Globally Local) »

"This time last week, we were just digesting the horror of the Nice killings, in which…" READ »

 
 
 
Sponsored Article
The mystique of Asia - in the middle of Stockholm
National
Experts: Gothenburg grenade blast is 'part of a cycle of violence'
Sponsored Article
Why you should learn to trade (and just how easy it is)
Gallery
Property of the week: Karlsborg
National
Why Sweden could change its criticised detention laws
National
Watch this dog's reaction when she tries Swedish fermented herring
Sponsored Article
6 reasons expats use TransferWise to send money
Gallery
People-watching: August 19th-21st
Sponsored Article
'Sweden's Lauryn Hill' touches the country's musical soul
National
How to find student housing in Sweden
National
VIDEO: Swede films first Northern Lights of the season
Sponsored Article
6 simple travel hacks that will make your life easier
Gallery
People-watching: August 17th
Sponsored Article
Why expats choose international health insurance
Society
Swedish population nears ten million
The Local Voices
This Syrian artist found love in a Swedish library
Sponsored Article
Five easy ways to travel more often
National
Sex pigs halt traffic after laser attack on Pokémon teens. Only in Sweden.
Sponsored Article
Why you should attend an international job fair
Gallery
Property of the week: Hammarby Sjöstad, Stockholm
Sponsored Article
Five things Americans should know about voting abroad
Society
Drunk knight detained in Stockholm
National
Can you solve this Swede's strange Star Wars mystery?
Sponsored Article
Jordan: where history meets adventure
Gallery
People-watching: August 12th-14th
Sponsored Article
Life in Jordan: 'Undiscovered treasure'
National
Swedes cheer first snow of the season
Sponsored Article
Jordan Pass: your ticket to the experience of a lifetime
Gallery
People-watching: August 10th
Sponsored Article
Why Jordan is the ‘Different’ East
The Local Voices
Syrian presenter: Swedish media should make more shows in Arabic
Sponsored Article
6 simple travel hacks that will make your life easier
Travel
Watch the meteor shower in Sweden
Lifestyle
How to survive a crayfish party
The Local Voices
Gabriel mastered Swedish and got accepted onto a medicine degree in just 7 months
3,350
jobs available