Swedish retailers remain cautious about the near-term outlook despite signs of broader economic improvement, according to the latest Handelsbarometer survey from Svensk Handel.
The monthly indicator, which tracks sentiment among 600 randomly selected store managers, owners and e-commerce operators, showed a slight uptick in April, reaching 85.2 — up 0.2 points from March. However, the figure remains below the neutral threshold of 100, marking the 23rd consecutive month of pessimistic readings in the sector.
Sofia Larsen, CEO of Svensk Handel, noted that while indications of upcoming interest rate cuts and declining inflation are encouraging, retailers are waiting for tangible improvements in consumer purchasing power before confidence strengthens significantly.
“We’re not particularly surprised by retailers’ somewhat more wait-and-see approach,” Larsen said in a comment accompanying the report. “Only when we see the actual change that should boost consumers’ spending power will we likely see a meaningful rise in future optimism.”
In physical stores, more than half of retailers expect conditions to worsen over the next three months, while only 12% anticipate improvement over the coming year. E-commerce operators expressed somewhat greater confidence, with 23% forecasting improvement and 34% expecting deterioration, yielding an indicator value of 95.9 — up 0.6 points from the prior month.
The survey underscores a persistent gap between macroeconomic signals and on-the-ground business sentiment in Sweden’s retail sector, as firms continue to navigate weak demand and margin pressures despite easing inflationary trends.
