April 18 The Swedish government should set the
framework for the individual tools for combating financial
imbalances but the financial watchdog should decide on their
application, the central bank said in an opinion on a government
proposal on Tuesday.
The centre-left government has been looking at a proposal to
widen the Financial Supervisory Authority's powers since 2015,
when the watchdog was forced to postpone the implementation of
tougher mortgage rules after a legal challenge.
Under the proposal the watchdog must obtain government
approval before adopting regulations aimed at preventing
financial imbalances in the credit market.
"The Riksbank proposes that the Government sets the
framework for the individual tools, while Finansinspektionen
decides on their application," central bank governor Stefan
Ingves said in an opinion on the proposal published on the
central bank's webpage.
(Reporting By Johan Ahlander; editing by Niklas Pollard)