The Riksbank's response to the consultation "From surplus target to balance target"
News, Consultation responses Stable public finances are a prerequisite for being able to respond to crises and are important for maintaining confidence in the inflation target. A balance target is not expected to affect the conditions for monetary policy.
The Executive Board underlines that well-calibrated and stable economic policy and institutional frameworks with broad political support are crucial for overall stabilisation policy, including the Riksbank's capacity to conduct monetary policy. The Riksbank therefore emphasises the importance of taking a long-term perspective when reviewing the target for general government net lending. This is to avoid a slow but systematic loosening of the framework, resulting in a trend increase in public debt.
The Riksbank has no objections to the Committee's proposals, but comments on certain parts of the report that are of particular importance for monetary policy.