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About Sweden

Sweden Population: 8,986,400 (July 2004 est.)
Languages: Swedish note: small Sami- and Finnish-speaking minorities.
Capital: Stockholm
Government Type: Constitutional Monarchy.
Independence Day: 6 June 1523 (Gustav VASA elected king)
Legal System: civil law system influenced by customary law; accepts compulsory ICJ jurisdiction, with reservations.
Currency: Swedish krona (SEK)

Executive Branch:

Chief of State: King CARL XVI GUSTAF (since 19 September 1973); Heir Apparent Princess VICTORIA Ingrid Alice Desiree, daughter of the monarch (born 14 July 1977).

Head of Government: Prime Minister Goran PERSSON (since 21 March 1996) cabinet: Cabinet appointed by the prime minister.

American Embassy: Dag Hammarskjolds VAG 31, SE-11589 Stockholm
Mailing Address: American Embassy Stockholm, Department of State, 5750
Telephone: [46] (08) 783 53 00 FAX: [46] (08) 661 19 64

General Overview: A military power during the 17th century, Sweden has not participated in any war in almost two centuries. An armed neutrality was preserved in both World Wars. Sweden's long-successful economic formula of a capitalist system interlarded with substantial welfare elements was challenged in the 1990s by high unemployment and in 2000-02 by the global economic downturn, but fiscal discipline over the past several years has allowed the country to weather economic vagaries. Indecision over the country's role in the political and economic integration of Europe delayed Sweden's entry into the EU until 1995, and waived the introduction of the euro in 1999.

Economic Overview: Aided by peace and neutrality for the whole 20th century, Sweden has achieved an enviable standard of living under a mixed system of high-tech capitalism and extensive welfare benefits. It has a modern distribution system, excellent internal and external communications, and a skilled labor force. Timber, hydropower, and iron ore constitute the resource base of an economy heavily oriented toward foreign trade. Privately owned firms account for about 90% of industrial output, of which the engineering sector accounts for 50% of output and exports. Agriculture accounts for only 2% of GDP and 2% of the jobs. The government's commitment to fiscal discipline resulted in a substantial budgetary surplus in 2001, which was cut by more than half in 2002, due to the global economic slowdown, declining revenue, and increased spending. The Swedish central bank (the Riksbank) is focusing on price stability with its inflation target of 2%. Growth remained sluggish in 2003. On September 14, 2003, Swedish voters turned down entry into the euro system, concerned about the impact on democracy and sovereignty.

International Disputes: None