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๐Ÿ‡ธ๐Ÿ‡ช Sweden /Economy & Trade

Swedish government eyes further cuts to foreign aid

From Svenska Dagbladet · () Swedish

Translated from Swedish, summarized and contextualized by DistantNews.

At a glance

News Sources not specified Context piece
  • The Swedish government has abandoned the one percent aid target, leading to billions in cuts over four years.
  • Moderates and Sweden Democrats propose further cuts of up to 15 billion kronor, aiming for an aid level around 0.5% of GDP.
  • Liberal and Christian Democrat parties still adhere to the one percent goal, while Social Democrats consider returning to it unrealistic.

Sweden's ruling parties, the Moderates and Sweden Democrats, are pushing for significant reductions in foreign aid. Prime Minister Ulf Kristersson (M) stated that the previous one percent aid target, which would have amounted to approximately 75 billion kronor this year, is no longer the benchmark. He argued that Sweden remains generous and that billions could be better utilized within Swedish policy.

We are still incredibly generous with Swedish taxpayers' money to other countries.

โ€” Ulf KristerssonPrime Minister Ulf Kristersson explaining the rationale for reducing foreign aid.

Kristersson suggested that Sweden could align with a European average for aid, around 0.5% of GDP, which would translate to about 15 billion kronor less than the current aid framework. Oscar Sjรถstedt, the economic spokesperson for the Sweden Democrats, indicated that his party had initially pushed for even deeper cuts, aiming for a halving of the aid budget, and expressed satisfaction that the Moderates are moving towards their stance.

My starting point is that we can be at some kind of European average.

โ€” Ulf KristerssonPrime Minister Ulf Kristersson suggesting a new target for foreign aid.

The Moderates are campaigning on a platform that contrasts Swedish healthcare and elder care with foreign aid. However, the Liberal and Christian Democrat parties, also part of the governing coalition, maintain their adherence to the one percent target in principle. Opposition parties like the Centre Party, Left Party, Green Party, and Social Democrats also support the one percent goal. Social Democrat leader Magdalena Andersson, however, deems returning to the target within one parliamentary term unrealistic, and her party's budget proposal for 2026 only allocated one billion kronor more than the government's aid framework.

Last time we proposed a halving, but we didn't quite get that far.

โ€” Oscar SjรถstedtOscar Sjรถstedt, Sweden Democrats' economic spokesperson, on previous budget negotiations.
DistantNews Editorial

Originally published by Svenska Dagbladet in Swedish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.