© Reuters. FILE PHOTO: Newly-appointed Swedish central bank governor Anna Breman attends a news conference in Stockholm, Sweden November 8, 2019. REUTERS/Johan Ahlander
STOCKHOLM (Reuters) – Slower growth and high inflation, a combination known widely as stagflation, is a risk following the pandemic and Russia’s invasion of Ukraine, Swedish central bank Deputy Governor Anna Breman said on Tuesday.
“The invasion of Ukraine has raised inflationary pressure at the same time as the risk that growth slows is bigger,” Breman said in a regular testimony to Sweden’s parliament.
“That’s where we are today. It (monetary policy) is a very difficult balance to strike.”
Swedish central bank’s Breman says stagflation is a risk