Sveriges Riksbank has decided to increase its risk buffer due to the higher quantity and more diverse type of assets it now holds on its balance sheet, it said on January 13.

The Swedish central bank chose to make an initial provision of Skr5 billion ($599 million) “to strengthen resilience against any future losses”. This buffer is intended to work over the long term, reducing the risk that the central bank’s equity falls too much or becomes negative.

In fact, the Riksbank estimates that over

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