In response to the recent depreciation of the Swedish currency, the Nobel Foundation has announced its decision to raise the award amount for this year’s Nobel Prizes. The prize will see an increase of 1 million kronor, bringing it to a total of 11 million kronor (equivalent to USD 986,270). The Foundation emphasized that this adjustment is financially feasible and necessary.
The Swedish currency has experienced a significant decline, reaching its lowest exchange rate ever against both the euro and the US dollar. Sweden has been grappling with a high inflation rate, which stood at 7.5 percent in August, though it had dropped from 9.3 percent in July. This figure is notably far from the Riksbank’s target of 2 percent inflation.
Historically, the Nobel Prize amount has seen various adjustments over the years. In its inaugural year in 1901, each prize category was awarded 150,782 kronor, according to the Foundation’s records. In the past 15 years, these prize amounts have undergone multiple changes. In 2012, it was reduced from 10 million kronor to 8 million kronor as part of a comprehensive effort to bolster the financial stability of the Nobel Foundation. Subsequently, in 2017, the prize amount was raised from 8 million kronor to 9 million kronor, and in 2020, it was further increased to 10 million kronor.
The announcement of this year’s Nobel Prize laureates is expected to occur in early October, with the award ceremonies scheduled for December 10, commemorating the date of award founder Alfred Nobel’s passing in 1896. While the prestigious Nobel Peace Prize is traditionally presented in Oslo, as per Alfred Nobel’s wishes, other award ceremonies are held in Stockholm.
It’s important to note that Sweden, despite its proximity to the eurozone, remains outside the currency union. Two decades ago, Swedes voted against joining the European currency in a referendum.