Trade Federation critical

Speaking at a conference for online retailers on Thursday, Swedish Trade Federation (Svensk Handel) CEO Karin Johansson criticised both the Riksbank and the National Institute of Economic Research for bemoaning the fact that the retail trade is not helping push up inflation.

Johansson said that retailers are unable to raise prices, and have seen margins squeezed by online price comparison sites and frequent campaigns. She warned that the Riksbank’s negative interest rates were costing companies dearly, as import prices rise, and that many retailers will be forced to close their shops.

“Price pressure is here to stay and forecasters haven’t understood this,” she said