Net profit rises to 8.32 bln SEK vs forecast 8.26 bln
Bank hikes dividend to 15.15 SEKshare from 9.75 SEK
Interest income beats forecast in fourth quarter
CEO says NII to be structurally higher than in zerorate era
Bank says credit quality remains strong

STOCKHOLM, Jan 24 Reuters Swedish banking group Swedbank reported a slightly biggerthanexpected rise in fourthquarter net profit on Wednesday and said credit quality had remained strong through the year as it hiked its annual dividend to shareholders.

The bank said in a statement net profit rose to 8.32 billion Swedish crowns 793.9 million from 6.79 billion in the previous year to come in slightly above a mean forecast of 8.26 billion in an LSEG poll of analysts.

Sweden39;s biggest mortgage lender proposed an annual dividend of 15.15 crowns per share, up from 9.75 crowns a year ago and just below the LSEG smart estimate of 15.24 crowns per share.

Nordic banks have seen results lifted by booming interest income as central banks cranked up rates in the past two years, but that wave now looks to have crested with monetary policy set to ease later this year, potentially curbing such revenues.

Rivals SEB, Handelsbanken and Nordea said interest income, which includes revenues from mortgages, rose to 13.33 billion crowns from 10.92 billion a year ago, topping the 12.91 billion seen by analysts.

CEO Jens Henriksson told reporters he did not expect a return to negative central bank interest rates, as was the case for…