The Economy Report, May 2020
There is great uncertainty about how the Covid-19 pandemic will develop. We base this Economy Report on a fairly positive scenario in which we assume that the pandemic will subside during the summer, and that our society can then start to return to a normal situation.
At the moment the world economy is experiencing an exceptionally rapid recession. Sharp falls are being seen in production, income and employment. For quarter 2 this year we assume a record fall in Swedish GDP, and it is now clear that the Swedish economy will shrink in 2020.