Sweden cuts growth forecast as economy slows

STOCKHOLM, Jan 21 (AFP) : Sweden cut its growth outlook Tuesday as the Nordic country, one of Europe's strongest economies, shows further signs of slowing.

"The slow recovery around the world is holding back the growth of the Swedish economy," Finance Minister Magdalena Andersson said in a statement.

Growth last year is now expected to have totalled just 1.8 per cent, down from the 2.1 per cent expansion in gross domestic product it forecast in October.

The government also cut its 2015 growth forecast by 0.6 per centage points to 2.4 per cent, and the 2016 forecast by 0.5 points to 2.7 per cent.