• Sweden edition
Business & Money

Borg defends critique of strong Swedish krona

Published: 10 May 2013 09:55 CET | Print version
Online: http://www.thelocal.se/47816/20130510/

Sweden's Finance Minister Anders Borg has hit back after the shadow finance minister slammed him for voicing opinions on monetary policy.

 
"The criticism surprises me. Finance ministers in more or less all countries across the world from time to time have opinions on exchange rates," Borg told reporters from Cape Town, where he is attending the World Economic Forum on Africa.

"That of course does not mean that I do not respect the Swedish central bank's independence and autonomy," Borg added.

The finance minister on Tuesday told Bloomberg News that he was worried about the strength of the Swedish krona. He said that the Riksbank may want to keep an eye on any further appreciation of the currency as it risked dampening Swedish export, a cornerstone of the country's economy.

The comments immediately drew shadow finance minister Magdalena Andersson's attention. The Social Democrat financial spokeswoman said Borg should stick to fiscal policy, and not put his oar in monetary policy.

"But if we have a structural shift of the exchange rate, we need to be able to discuss it," Borg defended himself on Friday.

"I wonder if the industrial employees in my constituency Norrköping, who risk losing their jobs, would agree with her that there is no problem with the exchange rate."

He added that it would be peculiar if he were to be the sole OECD finance minister who could not make statements about the exchange rate.

Borg also took the opportunity to underline that while he was keeping an eye on the Swedish krona, observers did not yet think it was dangerously overvalued.

"That's why we don't have an acute problem at the moment, but markets are not rational and capital flows in the modern world are tricky," Borg said.

"Sweden relies heavily on steel, paper mass, and iron ore and I cannot see any advantage to encouraging an exaggerated strengthening of the currency."

TT/The Local/at
Follow The Local on Twitter

(news@thelocal.se)

What do you think? Leave your comment below.

Don't miss...X

Your comments about this article:

Business & Money headlines
Last call for Swedish glass maker Orrefors

Last call for Swedish glass maker Orrefors

Legendary Swedish glass blowers Orrefors have failed to find a new owner, sealing plans to move production away from the country's "crystal kingdom". READ () »

Swedish MPs' email at risk of US spying: report

Swedish MPs' email at risk of US spying: report

Swedish parliamentarians access their email through three US-based servers, allowing American surveillance authorities access all their email correspondence, much of which contains sensitive information. READ () »

Swedish pastor admits to buying sex

Swedish pastor admits to buying sex

A pastor from central Sweden has been convicted of buying sex from a prostitute after being nabbed when police broke up a major pimping operation. READ () »

Telia leaks customers' private phone logs

Telia leaks customers' private phone logs

Swedish telecom operator Telia has come under fire after the company published customers' private information, leaked their bills online, and revealed lists of SMS and phone call recipients. READ () »

Mamma Mia! Final Abba auction tally disappoints

Mamma Mia! Final Abba auction tally disappoints

An online auction of a wide-ranging collection of Abba memorabilia failed to live up to expectations, the Swedish auction house that organized the sale said on Monday. READ () »

ID-card fraud 'epidemic' threatens Sweden

ID-card fraud 'epidemic' threatens Sweden

Sweden's commitment to transparency and access to information is turning the country into a favourite target for criminals who use fake IDs to defraud unsuspecting Swedes. READ () »

Systembolaget bans beer with grenade logo

Systembolaget bans beer with grenade logo

Sweden's state controlled alcohol monopoly has ruled out distributing the Welsh export 'Fubar' brand beer due its label featuring a hand grenade and bullet holes with the brewers saying 'they have a very different drinking culture over there.' READ () »

Thieves make 40,000 litre diesel raid

Thieves make 40,000 litre diesel raid

Police are on the hunt for diesel thieves who stole a huge quantity of fuel from an automatic filling station in Vilhelmina, northern Sweden, with the raided goods estimated to be worth 600,000 kronor ($92,000). READ () »

New registry for foreign temp workers in Sweden

New registry for foreign temp workers in Sweden

The head of Sweden's work environment watchdog believes a new law forcing foreign employers to report temporary postings in a centralized registry will lead to a streamlined monitoring system. READ () »

Interest swells as Abba auction draws near

Interest swells as Abba auction draws near

An auction of rare Abba memorabilia set to take place at the weekend has generated "huge" interest from fans excited to own a piece of Swedish pop music history. READ () »

More Business & Money

Find a new job in Sweden now
14/08 Account Manager at Edenred
Michael Page		 Stockholm, STHM
14/08 Account Manager ICT
Master Search & Recruitment BV		 Dublin, Dublin
14/08 Agile Team Lead - Games
Net Entertainment		 Stockholm
14/08 Customer Systems Engineer
Dell Inc		 Stockholm, STHM
14/08 Director Business System EMEAR
Michael Page		 Gothenburg, VTG
14/08 Field Service Engineer to Esko
Poolia AB		 Göteborg, VTG
14/08 Field Service Engineer to Esko
Poolia AB		 Malmö, SKÅ
14/08 Field Service Engineer to Esko
Poolia AB		 Stockholm, STHM
14/08 Market Research Analyst - Tobii Insight
Tobii Technology		 Stockholm
14/08 Marketing Manager in Sweden, Stockholm/Arlanda
The Nuance Group AB		 Stockholm, STHM

ALL JOBS »


 
More popular articles »
Latest Business & Money news from Germany
Noticeboard
SHOW ALL NOTICES »
Discuss
FULL INDEX »
JUST THE NEWS »
LATEST TOPICS »
Trade binary options
Create an account with Banc De Binary, the world’s most reputable binary options firm, and start cashing in today! You can start by practicing with our free $50,000 demo account.
www.bbinary.com
Therapy in English
Expat counsellor & talk therapist offers counselling for stress, relationship issues, sexuality, culture adjustment & life coaching. Private & confidential. Stockholm or Skype. Contact me today! 08-559 22 636 or
CLICK HERE