Sweden was hit very hard by the global financial crisis. It experienced a contraction of no less than 5 per cent of GDP in 2009. Yet economic growth rebounded strongly 2010 and 2011, recording an annual growth rate of 6.1% and 3.9% respectively. This very strong recovery illustrates the resilience and adjustment capacity of the Swedish economy.
This is not to say that there are no problems in Sweden. To name just one, unemployment has remained at rather high levels, hovering at around 8%. Yet overall the indicators point to solid fundamentals. As a matter of fact, Sweden’s economic and financial policies can be considered to set a benchmark for many other economies in Europe.