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Tough economic situation in Sweden

'Retailers have a pessimistic view of the next three months'

After a start to the year when optimism among traders rose relatively sharply from low levels, the tone is now considerably more cautious. The increases that are noted, after all, are from low levels, which means that the industry is still under pressure as a result of the tough economic situation. This is shown by the Swedish Trade Barometer for the month of April.


Despite the future expectations of both store and e-retailers rising slightly, all segments are still below the neutral value of 100, which means that for the 23rd month in a row, Swedish retailers have a pessimistic view of the next three months based on profitability, the number of employees and sales. Despite the wait-and-see attitude among traders in April, there is reason to believe in stronger numbers going forward.

'We are not really surprised by the somewhat more wait-and-see attitude of the traders. Indications of future interest rate cuts and a falling inflation in all glory, but the industry is still waiting to see the actual change that will strengthen the purchasing power of consumers. Only then do we believe that faith in the future can increase significantly,' says Sofia Larsen, CEO of Svensk Handel. She continues, 'Therefore, it is promising that the government now sees it as one of its most important tasks to support the recovery of household purchasing power, which was announced in the spring bill. It is a long-awaited signal for the industry.'

More Information:
Svensk Handel

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