"We can see that good things are happening in the Swedish economy, which we believe is good reason to partially move into a new phase in economic policy," Ulf Kristersson told a press conference alongside the country's finance minister, Elisabeth Svantesson.
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He highlighted the fact that Sweden had seen unusually high growth in the first quarter of 2024, as well as the fact that the central bank had started to lower the key interest rate.
"This is quite an important change," he said. "We want to thank everyone who has shown patience."
Kristersson said that these positive developments opened the door for more long-term government investment in infrastructure, research, development and energy, as well as tax reform.
Finance Minister Elisabeth Svantesson agreed that things are going in the right direction, but warned that it was important not to start celebrating just yet.
"We'd like to see some more results, but essentially we've won this battle," she said, adding that growth had been better than expected and there was hope that household and business finances will soon start to improve.
"It's still tough for many households. Prices are still high, we're still in a period of low growth, but nevertheless we can see the light at the end of the tunnel," she added.
Svantesson also predicted lower unemployment and better growth in 2025.
"That should lessen the pressure on a lot of people."
Svantesson would not confirm whether this meant that the government is planning to spend more in its next budget - she previously described the last budget as "restrictive" ahead of a "grim winter" - saying only that the new announcement was a "change of perspective".
"This doesn't say so much about the size of next year's budget, rather more about what we're going to do in it, a change of perspective. Before, the focus was on fighting inflation. Now it will be completely different, primarily on growth," she said.
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