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Sweden’s Central Bank to Top Up Foreign Currency Reserve

Sweden’s central bank said it has decided to borrow the equivalent of 10 billion kronor ($1.5 billion) in foreign currency through the Debt Office to restore reserves.

Participation in loan arrangements from the International Monetary Fund in recent years has entailed the use of funds from the foreign currency reserve, the Stockholm-based bank said in a statement.

“During the financial crisis, the Riksbank decided to reinforce the foreign-currency reserve by borrowing foreign currency to the value of 100 billion kronor,” Riksbank said. “At year-end 2011, these loans amounted to 86.7 billion kronor.”

The krona was little changed against the euro at 8.815 as of 4:36 p.m. in Stockholm.

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