Sweden: Economic growth declines according to advanced Q1 data
The economy dropped 0.4% in seasonally-adjusted quarter-on-quarter terms in the first quarter of 2022, according to preliminary figures released by Statistics Sweden. While the result contrasted the 1.1% expansion recorded in Q4 2021, it came in marginally above market expectations of a 0.5% fall. Meanwhile, in calendar-adjusted annual terms, GDP grew 3.0% in the first quarter, which was a softer expansion than the 5.2% growth clocked in Q4 of last year.
Although details of the release are still pending, the quarterly decline likely came on the back of reduced private consumption amid declining consumer sentiment and mounting price pressures. These dynamics stem in no small part from the outbreak of the war in Ukraine in late February.
A more comprehensive breakdown of Q1 2022 GDP will be released on 30 May.