Sweden takes loan from ECB

SWEDEN&rsquo;S central bank said yesterday it would take a &euro;3bn (&pound;2.6bn) loan from the European Central Bank (ECB) to ensure financial stability, despite an earlier statement from the country's regulator that its banks could survive a severe recession.<br /><br />The Riksbank is taking the loan to give it breathing space while it builds up foreign currency reserves as part of a strategy to mitigate banking risks. The move is at odds with the earlier assertion from Sweden&rsquo;s regulator that the country&rsquo;s major banks could manage the &ldquo;extreme&rdquo; pressures created by a severe recession.