Speaking on CNBC on Tuesday, Chief Executive Birgitte Bonneson said she thought the bank's ability to deliver net interest income of 6.06 billion crowns versus a forecast of 5.86 billion crowns and last year's 5.81 billion crown figure was "really well done", particularly in a quarter containing summer months and with the ongoing spectre of negative interest rates hanging over Sweden's lenders.
Responding to recent comments in the Financial Times from Riksbank governor, Stefan Ingves, in which he called the impact of negative rates "undramatic", Bonneson sounded a more pessimistic tone on the monetary policy strategy.
"I think negative interest rates are not such an easy instrument to use. This is exactly what you see here - I'm not sure it will help the situation to go further into negative territory to be frank," she said.
Turning to the housing market and picking up on further comments from Ingves in which he recently said Sweden's housing market was being mismanaged, the CEO of the Nordic region's biggest mortgage lender pointed to structural issues causing distortion.
"The underlying problem is there's not enough new houses built in Sweden. There's a huge undersupply and this is the root cause of this. We need about 700,000 new houses in the next 10 years and production is around 50 thousand at best a year," she articulated.
"So this is a huge problem, it drives prices up, it's not good," Bonneson concluded.
Despite these concerns, the Swedbank CEO emphasized that given rigorous customer checks and balances, she is "quite comfortable" with the quality of the assets today.