STOCKHOLM (dpa-AFX) - Sweden's central bank left its interest rate unchanged on Thursday and indicated that the rate will remain at the current level for some time to come.
The Executive Board of the Riksbank decided to hold the policy rate at 1.75 percent.
The board assessed that the war in the Middle East will dampen growth somewhat in the near term and push up inflation as a result of higher energy prices.
'It is still too early to be able to see clearly how the war is affecting the outlook,' the bank said in a statement.
The bank said it monitors developments closely and will adjust monetary policy if the outlook for inflation and economic activity so requires.
Riksbank today lowered interest rate for the supplementary liquidity facility. The interest rate mark-up on the supplementary liquidity facility was reduced from 0.75 percentage points to 0.30 percentage points above the policy rate.
In addition, the bank removed the limit as to how large a share of the collateral pledged for loans from the Riksbank may consist of covered bonds.
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