The policy rate currently stands at 4.0 percent, the highest interest rate seen in Sweden since 2008. It decides which rates Swedish banks can deposit in and borrow money from the Riksbank, affecting the banks' interest rates on savings, loans, and mortgages.
Riksbank chiefs suggest a potential rate cut in May or June due to decreasing inflation. Economists predict an imminent rate cut, possibly today, with a subsequent effect on mortgages.
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