STOCKHOLM Dec 1 Sweden's financial system is
robust, but strong growth and low interest rates may be creating
problems for the economy, the financial watchdog said on
"There is a risk that imbalances are building up, and even
though they are difficult to identify and measure, they are very
important to monitor," said the Swedish Financial Supervisory
Authority in its bi-annual stability report.
Sweden has one of Europe's biggest financial sectors
relative to the size of its economy.
Rapidly rising house prices and household debt over the last
20 years have prompted warnings from the country's central bank
as well as from the European Commission and the International
(Reporting by Johan Ahlander; Editing by Simon Johnson)