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Sweden's GDP slumped 8.6% in Q2, more sharply than its neighbors despite its no-lockdown policy
Sinéad Baker
Aug 14, 2020, 9:28 AM
Sweden's GDP fell 8.6% during the second quarter of the year, according to its statistics body.The fall is sharper than its neighbors — Denmark registered a 7.4% fall, and Finland a 3.2% fall. Statistics suggest Norway also fared better than Sweden.Sweden decided not to pursue a nationwide lockdown, unlike most European nation. The statistics show this did not help its economy.Sweden has also seen much more widespread death from COVID-19 than nearby nations — though much of Europe is again registering an increase in cases.
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Mikael Bask, an economist at Uppsala University told Business Insider last month that Sweden's economy was hurt by shorter store opening hours and reduced footfall, even though they stayed open.
Income from tourism and exports also fell.
Beyond economic damage, the human cost in Sweden has also been worse than its neighbors.
Sweden's deaths are highSweden has now seen 5,776 deaths among its population of just over 10 million.
Its death rate was once one of the world's highest, and is now still significantly higher than its neighbours: more than five times Denmark's, more than 11 times Norway's, and around 10 times Finland's.
Those three countries have now, like the rest of Europe, eased some restrictions, while Sweden has kept its same rules in place. The effect that is in many respects Sweden's rules are now stricter than those of other nations.
The daily rate of new COVID-19 infections in Sweden has fallen dramatically from its peak, though per-capita it is still higher than in many other European countries.
Norway, Finland Denmark are now starting to see a rise in cases, though they have been past their peak for much longer than Sweden now has been.
Tegnell told the UK's Observer newspaper on Sunday that he was still not sure what strategy is best, though he has defended Sweden's decision to stay on its path.
"It will be very difficult to to achieve any kind of really clear-cut answer as to what was right and what was wrong," he said.
"I think we're talking years into the future before we can get any kind of consensus on how to deal with this in the best possible way."
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