Sweden is considered to be one of the most competitive economies in the world. It has a strong manufacturing sector and has been able to obtain strong growth in the service sector, including information and communication technologies. Policymakers stress the importance of ensuring that the skills of the population are fully developed and utilised; in relation to young people, the emphasis in this regard has been upon ensuring that they continue in education and training and complete their studies.
Overall employment has already passed its pre-2008 financial crisis level. Looking to the future, most employment growth over the period to 2025 will be in non-marketed (mainly public sector) services, with most job opportunities being for professionals. Meanwhile, Sweden is forecast to see an increase in demand for high- and medium-skilled workers, with demand for low-skilled workers decreasing. The share of Sweden’s labour force with high level qualifications is projected to increase in the same period, whilst the share of workers with medium, low or no qualifications is expected to decrease.
Sweden’s working-age population (15-64) will likely grow in the period to 2025. Labour market participation is expected to fall, but remain significantly higher than the EU average. Looking to the longer-term future, Sweden is expected to have a much lower old-age dependency ratio than the EU28 average.