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Swedish central bank's Jansson says Iran war's longer-term impact on monetary policy is unclear

ReutersMar 31, 2026 10:37 AM

- Swedish central bank Deputy Governor Per Jansson said on Tuesday the Iran war has a moderate impact on the Riksbank's main-scenario forecasts for inflation although long-term consequences are unclear, and conditions for monetary policy can change rapidly.

The Riksbank on March 19 held its policy rate at 1.75% and said it expected to keep it there for some time, while flagging that the war in the Middle East made its forecast very uncertain.

“The war in Iran is changing the conditions for monetary policy both in Sweden and abroad," Jansson said on Tuesday in a written summary of a speech.

"It is still unclear what the more long-term consequences will be and conditions can change rapidly. Overall, it was therefore reasonable to leave the policy rate and the interest rate path unchanged,” he said, adding that rising energy and input prices in the wake of the war could feed through into consumer prices relatively quickly.

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