Coronavirus briefing: Sweden to start large scale testing and free domestic travel
Coronavirus briefing: Sweden to start large scale testing and free domestic travel

The epidemic

  • Stability continued in the US, Europe, and Russia.
  • Cases continued to rise in Brazil and the rest of the world, mostly Latin America and South Asia, India is now about in par with Russia in their number of daily recorded cases.
  • The WHO’s director for Africa commented that the continent’s statistics, which continue to indicate a relatively small number of infections, are broadly accurate.
  • Sweden’s recorded cases increased considerably, driven by faster case growth in the Västra Götaland region. The authorities are not yet quite sure what has caused this.
  • Sweden’s daily cases per capita remain high compared to its neighbours and large EU countries. Again, testing plays in. However, daily deaths in Sweden also remain high in European comparison even if they have declined in the latest days.
  • Swedish authorities commented that the share of cases among the elderly has declined, which contributes to stable intensive care figures.

Policy

  • Spain will open its land borders with France and Portugal from June 22.
  • Face coverings will be made obligatory in public transport in the UK from June 15.
  • The Swedish government announced that it would support more extensive coronavirus testing and tracing in the regions with 5.9 bn SEK and that all with symptoms will be able to get tested after a medical assessment. Antibody testing will also be covered.
  • The Swedish government also announced that free travel within the country would be allowed from June 13 for people without symptoms.
  • The field hospital in Stockholm that was constructed due to the coronavirus epidemic and never used will be dismantled.
  • The ECB delivered: rates were unchanged but emergency purchase programme was boosted and prolonged by 600 bn EUR, read more here.

Economic effects

  • Swedish April production data and industrial orders showed big declines, confirming a broad and sharp decline in economic activity due to the corona crisis and a very weak industrial outlook.
  • German industrial orders came in considerably worse than expected in April, at nearly -37% y/y.
  • US weekly new unemployment claims showed another decline, to 1.9 million. 


PDF-Document Read the full analysis/report here (pdf)


Maija Kaartinen 
Economist 
Swedbank AB (publ) 
SE-105 34 Stockholm 
Phone: +46 8 700 92 73 
research.swedbank.se 


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