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Swedish c.bank raises interest rates to 0.75 pct

Published 09/02/2010, 03:36 AM
Updated 09/02/2010, 03:40 AM

STOCKHOLM, Sept 2 (Reuters) - Sweden's central bank raised its key interest rate by a quarter point to 0.75 percent as expected on Thursday, lifting borrowing costs further off the record-low hit during the global financial crisis.

A Reuters survey of economists showed 14 out of 15 expected a second successive 25 basis point hike while one analyst forecast the Riksbank would keep rates on hold until its October meeting. [ID:nLDE67Q0SV]

"The repo rate needs to be raised gradually towards more normal levels to attain the inflation target of 2 percent and create the right conditions for stable growth in the real economy," the Riksbank said in a statement.

For stories on Swedish interest rate decisions, click on [SERATE=ECI] (Editing by Mike Peacock)

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