Overview: Aided by a long period of peace and neutrality during World War I through World War II, Sweden has achieved an enviable standard of living under a mixed system of high-tech capitalism and extensive welfare benefits. It has essentially full employment, a modern distribution system, excellent internal and external communications, and a skilled labor force. Timber, hydropower, and iron ore constitute the resource base of an economy that is heavily oriented toward foreign trade. Privately owned firms account for about 90% of industrial output, of which the engineering sector accounts for 50% of output and exports. For some observers, the Swedish model has succeeded in making economic efficiency and social egalitarianism complementary, rather than competitive, goals. Others argue that the Swedish model is on the verge of collapsing by pointing to the serious economic problems Sweden
faces in 1991: high inflation and absenteeism, growing unemployment and deficits, and declining international competitiveness. In 1990, to improve the economy, the government approved a mandate for Sweden to seek EC membership and an austerity and privatization package and implemented a major tax reform. These reforms may succeed in turning the economy around in 1992.

GDP: $137.8 billion, per capita $16,200; real growth rate 0.3% (1990)

Inflation rate (consumer prices): 10.9% (1990)

Unemployment rate: 1.6% (1990)

Budget: revenues $60.1 billion; expenditures $56.7 billion, including capital expenditures of $NA (FY89)

Exports: $57.5 billion (f.o.b., 1990); commodities--machinery, motor vehicles, paper products, pulp and wood, iron and steel products, chemicals, petroleum and petroleum products; partners--EC 54.4%, (FRG 14.2%, UK 10.1%, Denmark 6.6%), US 8.6%, Norway 8.2%

Imports: $54.7 billion (c.i.f., 1990); commodities--machinery, petroleum and petroleum products, chemicals, motor vehicles, foodstuffs, iron and steel, clothing; partners--EC 55.3%, US 8.4%

External debt: $14.1 billion (December 1990)

Industrial production: growth rate - 2.0% (1990)

Electricity: 39,716,000 kW capacity; 142,000 million kWh produced, 16,700 kWh per capita (1990)

Industries: iron and steel, precision equipment (bearings, radio and telephone parts, armaments), wood pulp and paper products, processed foods, motor vehicles

Agriculture: animal husbandry predominates, with milk and dairy products accounting for 37% of farm income; main crops--grains, sugar beets, potatoes; 100% self-sufficient in grains and potatoes, 85% self-sufficient in sugar beets

Economic aid: donor--ODA and OOF commitments (1970-89), $10.3 billion

Currency: Swedish krona (plural--kronor); 1 Swedish krona (SKr) = 100 ore

Exchange rates: Swedish kronor (SKr) per US$1--5.6402 (January 1991), 5.9188 (1990), 6.4469 (1989), 6.1272 (1988), 6.3404 (1987), 7.1236 (1986), 8.6039 (1985)

Fiscal year: 1 July-30 June

NOTE: The information regarding Sweden on this page is re-published from the 1991 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Sweden Economy 1991 information contained here. All suggestions for corrections of any errors about Sweden Economy 1991 should be addressed to the CIA.