Stockholm, Jan 19 (IANS) Swedish economy will be affected in the long term by Europe’s financial crisis, said the Swedish Prime Minister Fredrik Reinfeldt during a parliament debate.

“Our Europe is now in the financial crisis, debt crisis and credit crisis at the same time,” Xinhua quoted Reinfeldt as saying, adding that even the big economies including Germany, Britain and France are also faced with increasing debt, leading to austerity policies in Europe for many years ahead.

“It will affect Sweden’s economy, household and job situation”, he added.

According to Reinfelt, Sweden, a largely export-oriented country, “is not big enough to change the situation although the Swedish economy is doing better than most of the other countries.”