Business and Finance
Business and Finance
Swedish amortisation requirements, mortgage caps gave resilience, Riksbank chief says
- Amortisation requirements and mortgage caps in Sweden have safeguarded household resilience and served the economy well, Riksbank Governor Erik Thedeen said in a statement on Tuesday.
The article from Reuters discusses comments made by Erik Thedeen, the Governor of Sweden's central bank, the Riksbank, on January 21, 2025. He highlighted that the Swedish mortgage market's resilience against economic downturns has been bolstered by regulations implemented over the past decade, including amortisation requirements and mortgage caps. These measures, according to Thedeen, have helped in reducing household debt levels and increasing financial stability. He noted that while these regulations might have constrained some households' ability to borrow, they have significantly contributed to the robustness of the financial system, especially in light of global economic challenges. Thedeen also mentioned that these policies have been crucial in preventing a housing market bubble, which could have led to severe economic repercussions.
Read the Full Reuters Article at:
[ https://www.reuters.com/markets/europe/swedish-amortisation-requirements-mortgage-caps-gave-resilience-riksbank-chief-2025-01-21/ ]
Read the Full Reuters Article at:
[ https://www.reuters.com/markets/europe/swedish-amortisation-requirements-mortgage-caps-gave-resilience-riksbank-chief-2025-01-21/ ]
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