Riksbank Cuts Estimate for Capital Needed to Cover Losses.

The Riksbank, Sweden's central bank, has announced that it may only need half of the previously estimated funds to restore its equity. The bank expects to make a profit of 16 billion kronor ($1.6 billion) for 2023 and has decided not to make any financial risk provisions for the year. The main reason for this improvement is a decline in market interest rates and gains from currency sales. The Riksbank's equity will remain negative, but it now estimates that it will need around 40 billion kronor to restore it, compared to the previous estimate of 80 billion kronor. The bank will submit a petition to parliament in March to specify its needs based on its equity and reported results for 2023. [Extracted from the article]