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Sweden Social Democrats Say Interest Rates Too High, DI Reports

July 8 (Bloomberg) -- Sweden’s central bank has kept interest rates too high for as long as 15 years because inflation has been below the 2 percent target, said a spokeswoman for the Social Democrats, Dagens Industri reported.

Inflation has been about 0.6 percentage points below the central bank’s target in the period so wage deals and state budgets have been based on wrong inflation expectations, damaging the economy, said Magdalena Andersson, chief spokeswoman for economic affairs with the Social Democrats, according to the Stockholm-based newspaper.

The party is the biggest opposition group in Sweden’s parliament.

To contact the reporter on this story: Christian Wienberg in Copenhagen at

To contact the editor responsible for this story: Dick Schumacher at

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