Oct. 10 (Bloomberg) -- Swedish industrial production fell more than estimated in August as a deepening European debt crisis threatens to delay a recovery and hurt exports.
Industrial production fell a monthly 3.1 percent in August after rising a revised 2.3 percent the previous month, Stockholm-based Statistics Sweden said today. Production was expected to fall 1.5 percent, according to the median estimate in a Bloomberg survey of eight economists. Output rose an annual 5.6 percent, compared with an expected 10 percent.
Sweden’s central bank on Sept. 7 kept its benchmark rate unchanged at 2 percent, interrupting a cycle of seven consecutive increases since July last year, citing “concern over public finances abroad.”
It predicted growth in the Swedish economy will slow to 1.7 percent in 2012 from 4.5 percent this year as exports, which account for about half of Swedish economic output, will be hurt by the global economic slowdown.
--Editors: Jonas Bergman, Tasneem Brogger
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