The Swedish authorities have slightly increased the forecast for the country's economic decline this year, expected as a result of the coronavirus pandemic, to 6 percent, compared to April's forecast of about 7 percent, Finance Minister Magdalena Andersson said on Thursday
STOCKHOLM (Pakistan Point News / Sputnik - 18th June, 2020) The Swedish authorities have slightly increased the forecast for the country's economic decline this year, expected as a result of the coronavirus pandemic, to 6 percent, compared to April's forecast of about 7 percent, Finance Minister Magdalena Andersson said on Thursday.
"A significant drop in GDP is expected in all countries this year, including Sweden. In our initial forecast, we predicted a fall of 7 percent, we have now revised it, and according to new data, the decline will be less and amount to 6 percent," Andersson told reporters.
At the same time, the finance minister noted that despite the improvement of certain economic indicators, the situation in the country, as well as throughout the world, remains serious, adding that the unemployment rate in Sweden had reached 9 percent.
Unlike other European countries, the Swedish authorities have embraced a less rigid approach to dealing with the pandemic, refraining from imposing a full-scale lockdown. Economies of countries that were severely hit by the pandemic and that opted for a strong lockdown approach are expected to shrink more. For example, Italy � one of the worst-affected countries in Europe � is expecting its GPD to fall by 8.3 percent this year. The economic situation in Spain is even worse, as its central bank has changed the forecast on the country's GDP fall for the 2020 fiscal year from the previous 13 percent to as high as 15 percent.
As a result of Sweden not introducing the lockdown, it has a considerably higher death toll than its European neighbors. Moreover, about 40 percent of Sweden's COVID-19 deaths have taken place in nursing homes, prompting an apology from state epidemiologist Anders Tegnell, the chief architect of the country's no-lockdown strategy. To date, Sweden has confirmed 54,562 coronavirus cases and over 5,000 related deaths.
