Sweden’s Mortgage Rates to Decline, SBAB CEO Says

(Bloomberg) -- Swedish mortgage rates can decline by as much as 0.15 percentage points as larger market participants seek to reverse a slide in market share, SBAB CEO Klas Danielsson was cited as saying by newspaper Svenska Dagbladet.

Still, such a decline in mortgage rates “won’t be decisive” in spurring further house price gains, according to the chief executive of the state-owned lender. The market share of bigger banks will continue to decline, he said.

Swedbank AB, which has the biggest share of the Swedish mortgage market, aims to take a number of measures, including hiring “a bit more people,” to boost its position, CEO Jens Henriksson said in April. Svenska Handelsbanken AB, the Nordic country’s largest lender by assets, plans to become the market leader for mortgages, SvD cited the head of its mortgage arim Stadshypotek AB as saying earlier this month.

Read More: Sweden’s Hot Housing Market Leaves Biggest Mortgage Bank Behind

©2021 Bloomberg L.P.