Bank of America expects the Riksbank to raise the policy rate by 25 basis points in November and by a further 25 basis points during the first quarter of 2027, to 2.25 percent.
The bank points out that the Riksbank has become more concerned about inflation risks, while the recovery in the Swedish economy has strengthened.
A further rate hike during the second quarter of 2027 may be on the cards if energy prices remain high.