Experts predict a weak 2025 – how it will affect different industries

2024 was a financially difficult year for many industries, and many financial experts are now predicting that 2025 will continue in the same vein. Growth in Sweden will remain weak, while households will have to tighten their belts even more. But what does this actually look like for different industries and companies in Sweden?

Food industry could suffer from a stronger krona

When it comes to the food industry, opinions are divided on whether food prices will fall. According to Statistics Sweden, 2023 saw a record increase in food prices of more than 20%. This has not been the case since the 1950s.

However, food companies believe that we could see a change in the situation in 2024 if the krona strengthens. It is said that one of the reasons for the high prices was the weak krona. If the krona stabilizes, food prices will also stabilize or even fall. It is also noted that there is a concern, and that is the cold weather. If we get a bad harvest, this will negatively affect food prices. This also affects farmers, who cannot feel confident about their production and working conditions.

The gaming industry is experiencing its first recession

Another industry that is feeling the effects of the worsening economic situation is the gaming industry. For the first time since 2019, the Swedish gaming industry has lost revenue. This is believed to be due to several different factors. Partly, Swedish players have less money left in their wallets, and partly, they are turning more to foreign players. This means that these are casinos that have licenses abroad, for example from Curacao or Malta.

There is no law that prevents Swedish players from playing for foreign players. They can also attract bigger bonuses and fewer restrictions. However, as a player, it is important to choose a reputable casino with a safe and recognized license. Techopedia’s Top 10 Casinos is a good place to start.

It is unclear how Swedish casinos will be able to stop the negative trend. They have to take into account the strict restrictions of the Swedish Gambling Authority and, for example, cannot offer regular bonuses to encourage players to deposit more money. This applies not only to online casinos, but also to land-based casinos Casino Cosmopol. Last year they had to close three days a week due to declining profitability. They are also expected to continue to make losses in 2025 and may be forced to close completely. Learn how to maximize your casino bonus by clicking on this page.

The number of long-term unemployed in Sweden is thought to be increasing

When many sectors and industries are reducing their turnover, this is also reflected in unemployment. It will also take some time before you see how seriously this will affect the labor market. It is already clear that the number of long-term unemployed in Sweden is at a very high level. This is mainly women and those born abroad. Many jobs also have very insecure employment contracts, which creates instability in the labor market. Today, there are approximately 350,000 unemployed people in Sweden, and a third of them are long-term unemployed.

Given Sweden's low growth forecast, it is difficult to see how this trend can be reversed. In fact, Sweden is projected to have the lowest growth in the entire EU. The government has also published its own report, in which they believe that overall unemployment will reach 8.2% by 2025.

Academies also affected by the ongoing recession

Also, when looking at the forecast for 2025, it is striking that the academic sector is also suffering from the ongoing economic crisis. Already in the fall of 2013, more than 13,000 graduates were registered for unemployment benefits, which is a full 8% more than the previous year. These figures are expected to remain at the same high level even in 2025.

One particularly vulnerable group is architects, among whom the number of unemployed increased from 1.4% to 4.4% in just one year. This is probably due to the fact that the construction industry has reached a standstill.

Housing construction volumes will remain low in 2025

The construction industry is also suffering from the ongoing recession. The Swedish National Board of Housing, Building and Planning has conducted a needs analysis and concluded that Sweden needs to build 67,300 houses every year by 2030 to meet demand. According to the forecast, only 23,600 apartments are planned to be built across Sweden. This is mainly due to rising interest rates, which increase costs while households' purchasing power decreases. However, this only applies to residential buildings, not other premises and structures.
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