Sweden’s Riksbank plans to finance part of its foreign-exchange reserves with loans in foreign currencies arranged through the National Debt Office. The loans would total the equivalent of about 200 billion Swedish kronor and are intended to reduce currency risk on the central bank’s balance sheet.
The Riksbank said on 4 November 2026 that it plans to begin the change in the first quarter of 2027, provided market conditions are stable. Full implementation is expected to take 12 to 18 months.
Since a 2021 decision, the Riksbank has financed its reserves itself. Under that arrangement, foreign-currency assets are matched by liabilities in Swedish kronor. The bank plans to gradually replace this financing with foreign-currency loans, up to the equivalent of about 200 billion kronor.
Because the loans and reserve assets would be denominated in the same currencies, exchange-rate movements would affect both sides of the balance sheet, reducing currency risk, the Riksbank said. The plan would also replace currency swaps used for hedging since 2023.
The transactions would include selling foreign currency for Swedish kronor and replacing existing swaps. The Riksbank said the transactions would be spread evenly over the implementation period.
The change is not intended to affect the size of the reserves over time and has no monetary-policy purpose, the bank said.
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