Sweden - background market data

Population: 9.05 million.

Currency: Swedish Krona (SKr): UK£1= SKr 13.25, US$1= SKr 7.18, E1= SKr 9.19. The krona gained somewhat in strength against the larger currencies during the first quarter of 2006.

Government:  The minority Social Democratic Party (S) government and its smaller parliamentary-supporting Left (V) and Green (MP) parties face a strong challenge from the four-party opposition bloc Borgerliga Alliansen — the Alliance for Sweden — at the general election in September.  The Alliance consists of the conservative Moderate Party (M), liberal People’s Party (FP), Centre Party (C), and Christian Democratic Party (KD).  At the time of going to press the two were neck-and-neck in the polls.        

Economy: Despite a more expansionary fiscal policy both before and after the election — the Alliance has agreed to progressively end the property tax during 2008 and replace it with a low council fee — public finances are projected to remain well in surplus irrespective of which parties are in power. Real GDP growth is expected to increase from 2.7 per cent in 2005 to 3.5 per cent in 2006. Inflation lies at 1.5 per cent and the labour market is expected to improve steadily after several lacklustre years.

Restrictions: Sweden has a VAT rate of 25 per cent, as well as a capital gains tax generally levied at 30 per cent. Driver’s licences are required for all vessels over 12m (39ft) long or 4m (13ft) wide, but there is no mandatory boat registration. Environmentally, Sweden has some of the toughest legislation in the world. A ministerial meeting within the North Sea Conference in Gothenburg this May advocated further limitations on the use of antifouling chemical hull paints and encouraged the use of alternative solutions. Styrene emission limits are restricted to 20ppm in existing boatbuilding premises and 10ppm in new facilities . Personal watercraft are prohibited on Swedish waters except in specially-designated areas for training and competitions.

Key Boat Shows (3):

• Allt för Sjön (Stockholm International Boat Show). Held annually in February/March. Normally attracts almost 500 exhibitors and around 117,000 visitors.

• Scandinavian Sail and Motor Boat Show, Stockholm. Held annually in November, attracting around 500 exhibitors and 43,000-plus visitors.

• Swedish International Boat Show, Gothenburg. Usually attracts 330 exhibitors and 75,000 visitors.