Stefan Ingves: Swedish monetary policy experiences after the global financial crisis - what lessons are there for other countries?

Speech by Mr Stefan Ingves, Governor of the Sveriges Riksbank, at a conference arranged by Money Macro and Finance Research Group, London, 15 October 2019.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Accompanying slides of the speech.

Thank you for inviting me. It is both inspiring and a privilege to be given the op-portunity to speak in more academic contexts, such as this one. Although it was a long time since I was conducting academic research myself, I try to keep updated on what is happening, not only because it is part of the job, but also for my own interest. Now, about ten years on from the global financial crisis, I feel that we are in an unusually interesting phase.

Worldwide economic events like the financial crisis, such as the Great Depression of the 1930s and stagflation in the 1970s, often have a profound effect on both macroeconomic thinking and practical policy. It is possible that something similar will also happen this time, but what a new macroeconomic paradigm will look like and what the policy implications will be is still unclear.

For my part, the crisis that affected Sweden and a few other countries in the early 1990s is etched on my mind, not least because, back then, I headed the so-called Bank Support Committee, which managed problems in the Swedish banking sec-tor. That crisis did not perhaps have such a profound effect on macroeconomic thinking at the global level as it was a more local phenomenon than the latest fi-nancial crisis.