Swedish central bank cuts interest rate to 0 pct

Staff Writer
Columbus CEO

STOCKHOLM (AP) — The Swedish central bank has cut its key interest rate to 0 percent, saying the economy is "relatively strong" but that inflation is too low.

The Riksbank on Tuesday lowered the key interest rate by 0.25 percentage points because it said the country's monetary policy needs to be "even more expansionary" to achieve the bank's target of 2 percent inflation.

The bank said the interest rate needs to remain at 0 percent until inflation picks up, and did not foresee raising the rate until mid-2016.