The Swedish Central Bank (Swedish: Sveriges Riksbank, Riksbanken), Also Known As The Swedish National Bank And The Old Translation Swedish Bank, Was Founded In 1668. It Is The Central Bank Of Sweden And The Oldest Central Bank In The World. On The 300th Anniversary Of Its Establishment In 1968, To Commemorate Alfred Nobel, The Riksbank Funded The Establishment Of The Riksbank Economics Prize, The Nobel Prize In Economics.
The Riksbank Is Affiliated With The Swedish Parliament And Issues Swedish Kronor. It Is Responsible For Monetary Policy To Maintain Price Stability And Maintain A Safe And Efficient Payment System. The Riksbank Believes That Price Stability Depends On Low And Stable Inflation, And The Consumer Price Index Should Be Maintained At Around 2%. The Riksbank Manages About SEK 200 Billion In Assets To Implement Monetary Policy, Buy And Sell Foreign Exchange, And Provide Emergency Liquidity Support To Banks When Needed.
History
The Predecessor Of The Riksbank Was The Stockholms Banco, Founded In 1656 By John Palmstrucci, Which Was The First Bank In Sweden. Although The Stockholm Bank Was A Private Bank, It Was Closely Regulated By The State. Although The Bank Of Stockholm Issued The First Banknotes In Europe, The Bank Collapsed In 1664 Due To A Lack Of Public Confidence In The Banknotes. Four Years Later, The Riksens Ständers Bank Was Established By The Swedish Parliament, Which Was Directly Regulated By The Parliament. The Riksens Bank Financed Sweden's Foreign Military Forces, Such As The Skorn War And The Great Northern War. In 1701, Banks Issued Notes Called Transportsedlar, The Precursor To Modern Banknotes.
In 1866, The Swedish Parliament Replaced The Old Parliament, And The Parliamentary Bank Changed Its Current Name. In 1873, Sweden Joined The Scandinavian Monetary Union, Implemented The Gold Standard, And Began Issuing Swedish Krona. In 1897, The National Bank Act (Riksbankslagen) Was Passed, And The National Bank Officially Became The Central Bank Of Sweden, With The Exclusive Right To Issue Banknotes.
Successive Presidents
Policy Interest Rate
The Swedish Central Bank Is Responsible For Setting The Policy Interest Rate. The Deposit Interest Rate Offered By The Swedish Central Bank To The Depositing Bank Is The Policy Interest Rate Minus 0.1%, While The Interest Rate For The Bank To Borrow From The Swedish Central Bank Is The Policy Interest Rate Plus 0.1%.
