Friday, July 4, 2025

Polaris of Enlightenment

Swedish government: Unprecedented economic turbulence ahead

Published 15 April 2025
– By Editorial Staff
Elisabeth Svantesson during Tuesday's press conference.
2 minute read

Elisabeth Svantesson, the Moderate Party’s Minister for Finance, believes that Trump’s trade tariffs and the unrest they have caused will also affect the Swedish economy.

– We had good conditions for getting the economy going. But then this happened, which we’ve talked about a lot – the trade war has materialized, she emphasizes.

According to Svantesson, the Swedish economy was recovering at the end of 2024 but this recovery has now been interrupted, and the Americans are being blamed.

The finance minister says that confidence in the US has been badly damaged and will take a long time to rebuild and that the Trump administration’s actions have damaged both the US and European economies.

It is sad that one of Sweden’s partners, the United States, is acting in this way, she said:

– What we are experiencing now is unprecedented. We have a trade war at a time when markets are highly integrated.

“Higher costs for businesses and households”

Although the finance minister admits that the consequences of the trade war are difficult to determine in advance, she nevertheless maintains that Sweden remains strong “with world-class public finances” and the focus of the spring budget, according to Svantesson, is on getting “the wheels turning” through various economic measures such as increased tax deductions and increased funding for the Swedish Public Employment Service.

We don’t know all the consequences of the trade war yet, but we know that it is harmful… But with this budget we are protecting Sweden, and we are prepared to do more, she adds.

Despite the SEK 11.5 billion (€1 billion) in measures, unemployment is predicted to rise from 8.2% today to 8.6% by the end of the year, and inflation to 2.5%, from 1.9% previously.

The Ministry of Finance expects Sweden’s GDP to grow by 2.1% in 2025 lower than previous estimates. However, growth is expected to pick up in 2026 and 2027, according to the forecast, which may be revised in the future.

The announcement of increased import tariffs in the United States has caused turbulence in financial markets and sharp stock market declines. Higher tariffs are expected to lead to higher costs for businesses and households, which is expected to dampen demand. At the same time, increased uncertainty itself risks dampening economic activity as firms and households postpone investments, hiring and purchases”, the assessment says.

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Fewer shootings in Sweden — but bomb attacks have doubled

organized crime

Published yesterday 15:34
– By Editorial Staff
According to Swedish police, the purpose of the bomb attacks is often to extort, intimidate, or threaten the victims.
2 minute read

The number of shootings in Sweden has almost halved compared to last year – but at the same time, bombings have increased dramatically. According to new statistics from the Swedish Police Authority, over 100 bombing incidents have occurred so far this year, representing a doubling compared to the same period in 2024.

During the first six months of this year, police have recorded 84 shootings. This marks a significant decrease compared to the first half of 2022, when 205 shootings occurred, resulting in 34 deaths and 49 injuries. The number of people injured in shooting incidents has also gradually decreased since then. However, the 2025 statistics include the school attack in Örebro, central Sweden, where ten people lost their lives.

This development comes against the backdrop of Sweden’s long-standing struggles with organized crime, where violent gangs, often with immigrant backgrounds, have spread fear in both major cities and smaller towns. For several years, authorities have struggled to effectively address the escalating violence – but according to police, certain measures are now showing results.

– In both physical and digital environments, as well as in investigations, we are now faster and more efficient, which has enabled us to prevent impending crimes and increase the clearance rate of deadly gang-related violence from about 20-30 percent to about 60 percent in recent years. This partly explains why we’re seeing fewer shootings, says August Knutsson, operational coordinator at the Swedish Police’s National Operations Center.

More bombings during winter months

While shootings have decreased, another form of violence has increased significantly. So far this year, 104 explosions have occurred – double the number compared to the same period in 2024, when 52 bomb attacks were recorded.

– This is obviously serious, and we’ve noticed that criminal groups have shifted their methods and carried out more bombings during winter and spring. Often for extortion purposes, to intimidate or threaten. However, since the beginning of the year, when we saw a sharp increase in completed bombings, they have decreased. We’re arresting more perpetrators during the preparation stage than before, explains Knutsson.

He emphasizes that the situation is still considered very serious and that gang violence could soon escalate again:

– At the same time, the conflict level remains high, and we know from experience that the situation can change rapidly. We’re doing everything we can to keep violence levels down.

“Floating Pentagon” makes its presence known in Stockholm

Sweden-NATO-relationship

Published yesterday 12:27
– By Editorial Staff
The USS Mount Whitney has a crew of approximately 500 personnel and is normally based in Naples, Italy.
2 minute read

The US command ship USS Mount Whitney, often referred to as a “floating Pentagon” due to its advanced command systems, has docked at Frihamnen port in Stockholm, Sweden.

The visit marks the conclusion of a month-long mission in the Baltic Sea where the vessel played a leading role in the extensive NATO exercise Baltops, working alongside Swedish personnel among others.

The vessel serves as the flagship of the US Sixth Fleet and is designed to command complex and extensive military operations. At 200 meters in length, it is equipped with advanced communication and command systems that make it a hub for US naval operations.

– We usually call it a floating Pentagon because our main strength lies in communication and command systems, says Jonathan Desimone, Command Systems Officer aboard, to Swedish public broadcaster SVT.

During the recently concluded Baltops, an annual NATO-led exercise in the Baltic Sea, USS Mount Whitney played a key role. The Swedish Navy participated with a submarine, among other assets, and several Swedish liaison officers were aboard as part of the NATO staffing.

– We had several Swedish liaison officers aboard throughout the exercise as part of the NATO staffing, says Commander and Captain Colin Price.

– We are here to participate in Baltops 2025 and to demonstrate US presence. Our goal as a naval force is freedom of navigation and regional stability, he further states.

No plans to leave Europe

Price emphasizes the value of the exercise and multinational NATO cooperation – but critics suggest the ship’s visible presence in Stockholm could also be interpreted as a show of force directed at Russia, rather than a purely diplomatic visit.

Meanwhile, the Baltic Sea has been characterized by increased military activity, with both NATO and Russia conducting parallel exercises. During Baltops, Russian fighter aircraft were observed flying near USS Mount Whitney in international airspace.

– I wouldn’t call them incidents, but yes, we had interactions with aircraft flying near Mount Whitney, Price comments and explains:

– During Baltops, we’re in the middle of the Baltic Sea and it’s international airspace where aircraft can fly wherever they want.

During Donald Trump’s presidency, there have been reports and signals suggesting that the US plans to significantly reduce its military presence in Europe. However, according to the commander, there are no such plans for USS Mount Whitney.

Swedish mother on the population crisis: “Children are seen as troublesome”

Published yesterday 8:45
– By Editorial Staff
Having small children rarely allows for uninterrupted scrolling through social media.
3 minute read

An unprecedented low number of children are being born in Sweden, and the reasons are said to be numerous – from war, climate alarmism, and economic anxiety to fear of childbirth.

Mother of four Anna Björklund argues that rapid digitalization and increased screen time have had a major impact and describes how children today are often perceived as an annoying disturbance that many would rather avoid.

The Swedish government recently announced the formation of an expert group to investigate why birth rates are declining and whether this trend can be reversed. The work is based on a similar study recently conducted in Finland.

One of the group’s members is mother of four, podcaster, and author Anna Björklund, and on Swedish public television SVT, she highlights digitalization as a possible key factor.

– Personally, I believe one piece of the puzzle is that we who are having children now, or should be having children now, are the first generation that grew up with the internet.

“Demanding presence”

Björklund is uncertain whether the trend can be reversed but sees possibilities to influence the development. She describes how children today are often perceived as demanding – not necessarily because of the children themselves, but because adults are not present.

– I’ve noticed that people see children as very annoying. That they talk about children as very troublesome, and when I tell people I have many children, they say it sounds exhausting. What they mean is that children demand presence in the room, and if you don’t respond to the subtle animal-like signals from a baby, it will scream.

– When parents have so many things competing for their attention and causing them not to be present in the room, children are perceived as very difficult. Then the question is, should the children be removed, or should humans as a species learn again to be present in the room? Personally, I think perhaps the latter, she says.

Constant browsing on smartphones has made us less present in the moment. Photo: Tim Mossholder/Unsplash

In Finland, where birth rates have also fallen to record low levels, a government study has recently analyzed the causes of declining childbirth. Anna Rotkirch, research professor and director of the Population Research Institute in Finland, particularly points to the difficulty of finding the right partner on public television.

– This is a new trend, young adults’ relationships don’t last nearly as long as they did for previous generations, she explains.

Rotkirch also emphasizes digitalization as a possible explanation for the changing relationships.

– It’s difficult to see anything else that would have changed globally over the past 15 years when we see this unexpectedly strong decline in fertility.

“Deteriorates young women’s mental health”

The population researcher emphasizes that more research is needed to understand the full impact of digitalization on birth rates. But there are already clear signs that screen time and social media have negative effects – particularly on young women’s mental health.

– We know that social media in particular has deteriorated young women’s mental health, and we know that mental health problems and loneliness make it much harder to find a partner and start a family, she says and adds:

– It also affects the quality of relationships. We know that screen time itself, regardless of what you do on the device, makes you less satisfied with your relationship and increases the risk of divorce.

Swedish government allocates hundreds of millions to World Bank’s aid fund

Published yesterday 7:12
– By Editorial Staff
According to Swedish politician Alexander Dousa, the Swedish aid billions should provide "better conditions for companies to invest, trade, grow and hire in the world's poorest countries".
2 minute read

The Moderate Party-led Swedish government has decided to contribute €730 million to the International Development Association (IDA), the World Bank’s initiative to support low-income countries in the developing world.

The decision, made by the government following a commitment in December last year, means the funds will be disbursed gradually between 2026 and 2034.

According to the government, IDA’s financing model allows each unit of aid funding to leverage between 3.5 and 4 times that amount in loans and grants for recipient countries. The upcoming replenishment of the fund is expected to deliver a total of $100 billion in support to 1.9 billion people across 78 of the world’s poorest countries over the next three years.

– We are currently living in a time characterized by increased economic and geopolitical uncertainty, which particularly affects the world’s low-income countries. Sweden is therefore contributing to a record-breaking replenishment of the fund with a total of 8.2 billion SEK (€730 million), says Swedish Minister for International Development Cooperation and Foreign Trade Benjamin Dousa (Moderate Party) in a press release.

He claims this is an “important investment in the future” – not only for poor countries but also for Sweden.

– Every Swedish aid crown to IDA generates three to four times its value in World Bank lending to support sound economic reforms and better conditions for businesses to invest, trade, grow, and employ people in the world’s poorest countries, it is stated.

“Reliable partnership”

The Swedish government takes pride in continuing to be “one of the most generous donors to IDA” and affirms that the World Bank is an “important partner for Sweden”.

Swedish Minister of Finance Elisabeth Svantesson (Moderate Party), who currently chairs the Development Committee of the World Bank and IMF, the institutions’ highest advisory body on development issues, takes the opportunity to praise the organization.

– The substantial replenishment of IDA demonstrates donors’ confidence in the World Bank as an effective and reliable partner. I am particularly pleased with the institution’s focus on job creation and growth-promoting reforms during this time of global economic uncertainty and low growth.

The International Development Association (IDA) is part of the World Bank and provides grants and concessional loans to the world's poorest countries. Its stated goal is to reduce poverty by financing projects in areas including public administration, education, health, and infrastructure. The allocation of funds is based on each country's needs, capacity, and willingness to implement reforms in economic, social, and institutional areas.

IDA has repeatedly faced criticism for linking its aid to demands for political reforms that are perceived as externally imposed. Critics argue that this undermines national sovereignty and forces governments to implement reforms that lack both popular support and grounding in local needs and priorities.

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