Sweden’s economy picked up modestly in the second quarter of 2025, with service industries continuing to drive growth, according to new figures from Statistics Sweden (SCB). Household consumption and investment contributed positively, but weak net exports weighed on GDP.
“While growth is far from strong, the trend is finally pointing upwards after a long period of sideways movement,” said SCB economist Johannes Holmberg.
The report, Sweden’s Economy – Statistical Perspective, provides an updated overview of the economic situation and features SCB’s latest business cycle clock. The clock shows Sweden remains in a mild recession: nearly all indicators were below their long-term trend in July, with new car registrations being the only exception. Most indicators, however, were close to trend, suggesting the downturn is relatively shallow.
One of the report’s key features is a deep dive into household saving patterns. Since the pandemic, Swedish households have shifted from heavy borrowing to historically high levels of saving. Over the past five years, savings have moved away from simple bank deposits toward mutual funds, reflecting changing behavior under tighter economic conditions.
The publication also marks a shift in SCB’s reporting format. From September 2025, the Statistical Perspective will be released quarterly in digital form, replacing the previous monthly overview. While the quarterly report now emphasizes GDP from both the production and demand side, the monthly business cycle clock will continue to be published, with the usual break in July.
Overall, the data indicates that Sweden’s economy is not yet out of the woods, but rising consumption and investment offer cautious optimism that growth is beginning to regain momentum.
Source: Statistics Sweden (SCB), Sweden’s Economy – Statistical Perspective, September 2025, 16 Sept 2025
