24 novembre 2008
« The most acute phase of the financial crisis is probably past, but the
situation remains strained. The crisis is now having very potent contagious
effects on the real economy. The world economic downturn is becoming more
and more synchronised. Gross Domestic Product in the OECD countries will
fall by more than 1 per cent in 2009 - the weakest performance since the
Second World War. Meanwhile powerful, synchronised global stimulus policies
are taking shape. Interest rates are being cut significantly as the threat
scenarios of central banks are increasingly dominated by recession,
financial crisis and deflation worries. In addition, fiscal policy is being
used on a broad front to soften the downturn. Stimulus packages will
contribute to a slight recovery in 2010, a year that will still be dominated
by the economic slump.
The downturn in the Swedish economy is continuing at a rapid pace. Next year
GDP will fall by 1.3 per cent, and economic weakness will persist in 2010.
The recession will have a growing impact on the labour market. The job
market will shrink by nearly 150,000 people altogether, and unemployment
will climb to nearly 10 per cent by the end of 2010. The Riksbank will cut
its repo rate at least to 1.50 per cent next summer. The government will
implement additional fiscal stimulus packages, and by 2010 Sweden's annual
surpluses in public sector finances will have turned into a deficit
equivalent to 3.5 per cent of GDP.
The consolidation of the global credit market will dominate economic
developments in the next couple of years. The global economy will suffer on
a broad front from tighter lending practices, falling asset prices,
increased saving and reduced risk-taking. The United States will undergo one
of its deepest recession in modern times. Unemployment will climb to 9 per
cent. Lower resource utilisation will squeeze wages and prices. We expect a
sharply declining Consumer Price Index for a while, and the battle against
unemployment and falling prices will be the most important economic policy
tasks. The Federal Reserve will cut its key interest rate one more time to
0.50 per cent before the end of 2008 and maintain this rate during both 2009
and 2010. The new Barack Obama administration will launch a large stimulus
package, which will help soften the downward economic spiral, but this
policy will meanwhile lead to major strains in public sector finances.
Economic developments in Western Europe are closely following American
trends. Higher household savings and balanced foreign trade points towards
somewhat greater resilience than in the US, but on the other hand, home
prices in many European countries are at least as excessive as in the US.
Economic stimulus measures will also be less aggressive in Europe. The
European Central Bank will continue cutting its refi rate, which will reach
1 per cent next autumn.
Having rebounded, the US dollar will maintain its strength for the next six
months in an environment of weak risk appetite and de-leveraging. After that,
underlying forces will gain the upper hand and the euro will rebound to USD
1.40 by the end of 2010. Bond yields will fall further, in the wake of
sluggish growth and lower key interest rates. German ten-year government
bond yields will bottom out at 2.7 per cent next summer and American ones
will dip even lower. After that, long-term yields will turn slightly upward,
among other things because of very large central government borrowing
requirements in many countries.
The Swedish economy will follow the downward path of the synchronised
international recession. Next year GDP will fall by 1.3 per cent, adjusted
for work days, and 2010 will be another weak year. Average annual growth
will be 0.2 per cent in 2008-2010, or significantly weaker than during the
slowdown just after the millennium shift, but substantially better than
during the crisis of the early 1990s. The labour market downturn has
accelerated in recent months, and unemployment is clearly on the way up.
Calculated as annual averages, the jobless rate will climb from 6.2 per cent
this year to 9.4 per cent in 2010.
Inflation has peaked and will fall sharply in the near future. As early as
this coming spring, inflation will be below the Riksbank's target. A
combination of recession and financial stress will help persuade the
Riksbank to continue cutting its key interest rate at a rapid pace. By next
summer the repo rate will be 1.50 per cent. The Swedish krona will continue
to weaken for another while, but then it will recover as the financial
situation gradually normalises.
The role of fiscal stimulus in stabilisation policy will become increasingly
important in a situation characterised by a deep economic downturn and
tighter credit. We expect further stimulus packages in Sweden equivalent to
SEK 50 billion. This, combined with weak economic conditions, will lead to a
rapid deterioration of public sector finances. The government will now face
a difficult balancing act when it comes to interpreting the official budget
target. We will probably see an adjustment to less ambitious budget targets
in a slightly longer perspective.
Key figures, Swedish economy
Year-on-year percentage change
|
2007 |
2008 |
2009 |
2010 |
GDP, adjusted
for work days |
2.9 |
0.8 |
-1.3 |
0.6 |
GDP, actual
|
2.7 |
1.1 |
-1.4 |
0.9 |
Unemployment (%,
ILO definition) |
6.2 |
6.2 |
7.9 |
9.4 |
CPI inflation |
2.2 |
3.6 |
1.2 |
0.9 |
Public financial
saving (% of GDP) |
3.5 |
2.6 |
-1.3 |
-3.5 |
Repo rate (December) |
4.00 |
3.00 |
1.50 |
1.50 |
Exchange rate,
EUR/SEK (December) |
9.43 |
10.30 |
10.10 |
9.50 |
SEB is a North European financial group serving some 400,000 corporate
customers and institutions and five million private individuals. SEB offers
universal banking services in Sweden, Germany and the Baltic countries -
Estonia, Latvia and Lithuania. It also has local presence in the other
Nordic countries, Poland, Ukraine and Russia and a global presence through
its international network in another ten countries. On 30 September 2008,
the Group's total assets amounted to SEK 2,416bn (~EUR 237bn) while its
assets under management totalled SEK 1,244bn (~EUR 122bn).The Group has
about 22,000 employees» (CS della Società)
|