Business Region Göteborg

Business Region Göteborg

The Swedish economy grows, yet at a slower pace GDP GROWTH OF SWEDEN IN PERCENT UP UNTIL THE SECOND QUARTER 2018 - CHANGE COMPARED TO THE SAME QUARTER PREVIOUS YEAR 8% 6% 4% 2% 2.5% -2% -4% -6% GDP growth Average 2000-2018 -8% 2018 quarter 2 2017 quarter 2 2016 quarter 2 2015 quarter 2 2014 quarter 2 2013 quarter 2 2012 quarter 2 2011 quarter 2 2010 quarter 2 2009 quarter 2 2008 quarter 2 2007 quarter 2 2006 quarter 2 2005 quarter 2 2004 quarter 2 2003 quarter 2 2002 quarter 2 2001 quarter 2 2000 quarter 2 Source: Statistics Sweden

Countries in close proximity and China balance up the car exports REAL SWEDISH EXPORTS (IN MSEK) OF PASSENGER CARS TO GOTHENBURG REGION S 5 MOST IMPORTANT DESTINATIONS, QUARTER 2 FROM 2010 10 000 8 000 USA Norway 6 000 China 4 000 Finland 2 000 Denmark 0 2018 Quarter 2 2017 Quarter 2 2016 Quarter 2 2015 Quarter 2 2014 Quarter 2 2013 Quarter 2 2012 Quarter 2 2011 Quarter 2 2010 Quarter 2 Source: Statistics Sweden

Wage sum of private sector continues to grow strongly REAL GROWTH IN WAGE SUMS FROM THE PRIVATE SECTOR - CHANGE COMPARED TO THE SAME QUARTER PREVIOUS YEAR 8% 6% 6.9% 5.4% 4% 2% -2% Gothenburg region Sweden -4% 2018 Quarter 2 2017 Quarter 2 2016 Quarter 2 2015 Quarter 2 2014 Quarter 2 2013 Quarter 2 2012 Quarter 2 2011 Quarter 2 2010 Quarter 2 2009 Quarter 2 2008 Quarter 2 2007 Quarter 2 2006 Quarter 2 2005 Quarter 2 2004 Quarter 2 2003 Quarter 2 2002 Quarter 2 2001 Quarter 2 Source: Statistics Sweden

Job growth gains momentum EMPLOYMENT INDICATOR - PERCENTAGE CHANGE IN NUMBER OF EMPLOYED ON ANNUAL BASIS 5% 4% 3% 2% 1% 2.2% 1.7% -1% -2% -3% Gothenburg region Sweden -4% 2018 Quarter 2 2017 Quarter 2 2016 Quarter 2 2015 Quarter 2 2014 Quarter 2 2013 Quarter 2 2012 Quarter 2 2011 Quarter 2 2010 Quarter 2 2009 Quarter 2 Source: Statistics Sweden

A majority of the unemployed is foreign-born UNEMPLOYED AND PEOPLE IN LABOUR MARKET POLICY PROGRAMMES - PERCENTAGE OF THE REGISTERED WORK FORCE AGED 16 TO 64 12% 1 9.8% 8% 6% 7.2% 6.9% 6. 5.6% 4% 2% Malmö region Sweden excl. metro regions Sweden Stockholm region Gothenburg region 201808 201708 201608 201508 201408 201308 201208 201108 201008 200908 200808 200708 Source: Swedish Public Employment Service and Statistics Sweden

Low unemployment among domestically born UNEMPLOYED AND PEOPLE IN LABOUR MARKET POLICY PROGRAMMES - PERCENTAGE OF THE REGISTERED WORK FORCE, DOMESTICALLY BORN AGED 18-24 AND 16-64 2 18% 16% 14% 12% Sweden - in ages 18-24 Gothenburg region - in ages 18-24 Sweden - in ages 16-64 Gothenburg region - in ages 16-64 1 8% 6% 5.8% 4% 2% 3.7% 2.8% 201808 201708 201608 201508 201408 201308 201208 201108 201008 200908 200808 200708 Source: Swedish Public Employment Service and Statistics Sweden

however unemployment remains high among foreign-born UNEMPLOYED AND PEOPLE IN LABOUR MARKET POLICY PROGRAMMES - PERCENTAGE OF THE REGISTERED WORK FORCE, FOREIGN-BORN AGED 18-24 AND 16-64 45% 4 35% 3 28.5% 25% 2 22.6% 20.1% 15% Sweden - in ages 18-24 15.9% 1 Gothenburg region - in ages 18-24 5% Sweden - in ages 16-64 Gothenburg region - in ages 16-64 201808 201708 201608 201508 201408 201308 201208 201108 201008 200908 200808 200708 Source: Source: Swedish Public Employment Service and Statistics Sweden

The vacancy rate continues to be at low level VACANCY RATE FOR THE OFFICE MARKET IN GOTHENBURG 2 18% Central Business District 16% 14% 12% Rest of Inner City Norra Älvstranden Gothenburg total 1 8% 6% 4% 2% 4.2% 3.4% 3.1% 0.6% 2018 Quarter 2 2017 Quarter 2 2016 Quarter 2 2015 Quarter 2 2014 Quarter 2 2013 Quarter 2 2012 Quarter 2 2011 Quarter 2 2010 Quarter 2 2009 Quarter 2 2008 Quarter 2 2007 Quarter 2 2006 Quarter 2 2005 Quarter 2 2004 Quarter 2 2003 Quarter 2 2002 Quarter 2 2001 Quarter 2 Source: JLL

Population grows strongly POPLUATION GROWTH PER QUARTER IN THE GOTHENBURG REGION 16 000 14 000 12 000 Quarter 4 Quarter 3 Quarter 2 Quarter 1 10 000 8 000 6 000 4 000 2 000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Source: Statistics Sweden

High production and falling housing prices GROWTH OF DWELLING STARTS IN NEWLY CONSTRUCTED BUILDINGS IN METRO- POLITAN REGIONS - CHANGE COMPARED TO THE SAME QUARTER PREVIOUS YEAR 30 25 20 Gothenburg region Malmö region Stockholm region 15 10 5 34% 19% -5-45% -10 2018 Quarter 2 2017 Quarter 2 2016 Quarter 2 2015 Quarter 2 2014 Quarter 2 2013 Quarter 2 2012 Quarter 2 2011 Quarter 2 Source: Statistics Sweden

TABLE SUMMARISING THE ECONOMIC SITUATION IN THE GOTHENBURG REGION COMPARISON WITH CORRESPONDING PERIOD THE PREVIOUS YEAR INDICATOR 2018 2017 CHANGE People in employment, quarter 2 542,700 531,200 +2.2% Total wage sum (real SEK billion), quarter 2 53.85 50.67 +6.3% Private sector wage sum (real SEK billion), quarter 2 41.40 38.74 +6.9% Unemployment 16-64 years, August 5.6% 5.7% -0.1%-points Unemployment among domestically born 16-64 years, August 2.8% 3. -0.2%-points Unemployment among foreign-born 16-64 years, August 15.9% 16.5% -0.6%-points Unemployment 18-24 years, August 6.1% 6.8% -0.7%-points Unemployment among domestically born 18-24 years, August 3.7% 4.4% -0.7%-points Unemployment among foreign-born 18-24 years, August 22.6% 25.1% -2.5%-points Vacancy rate for office space in Gothenburg, quarter 2 4.2% 5.8% -1.6%-points Population, quarter 2 1,020,413 1,004,478 +1.6% New car registrations, quarter 2 18,032 12,299 +46.6% Air passengers, quarter 2 (monthly average) 607,883 602,767 +0.8% Guest nights, quarter 2 (monthly average) 408,692 401,886 +1.7% Source: Statistics Sweden, Swedish Public Employment Service, JLL, The Swedish Transport Agency and The Swedish Agency for Economic and Regional Growth