Sweden Sees Drop in Debt Restructuring Applications Amid Low Inflation

In the first half of 2026, Sweden experienced a slight decline in debt restructuring applications, with 17,475 people applying—a decrease of 773 compared to the same period last year, according to Kronofogden. Approval rates stood at 45%, reflecting a moderate acceptance of these applications. Notably, applications from young adults aged 18 to 30 fell sharply by 32%, while those from seniors over 65 increased by 22%. Debt restructuring involves a five-year payment plan where individuals live on a subsistence minimum and pay off debts either fully or partially.

This trend emerges against a backdrop of stable and low inflation in Sweden. As of August 2026, inflation measured by the KPIF stood at 0.7%, unchanged from July, with a modest 0.5% rise in prices excluding energy costs. The low inflation rate has primarily resulted from declining food prices, contributing to a relatively stable economic environment. Inflation had peaked at 10.2% in December 2022, leading the Riksbanken to raise interest rates to bring inflation near the 2% target by 2024.

The decrease in debt restructuring applications, especially among younger individuals, may reflect improved purchasing power and financial stability facilitated by current low inflation. Conversely, the increase among older adults could relate to fixed incomes less keeping pace with cost-of-living changes. Kronofogden’s data underscores ongoing shifts in Sweden’s debt management landscape amid evolving economic conditions.