Sweden's leftwing opposition bloc held a razor-thin lead in Sunday's general election with half of the votes counted, with the far right seen losing ground.

With more than 50 per cent of votes counted, four opposition parties led by Social Democratic leader Magdalena Andersson, had a narrow lead with 49.3 per cent against 49.1 per cent for Prime Minister Ulf Kristersson's right-wing alliance, which includes the anti-immigration Sweden Democrats.

In a big surprise, the anti-immigration Sweden Democrats lost support for the first time since it entered parliament in 2010, with 17.7 per cent of the vote, down from 20.5 per cent in 2022.

Read the full story at SBS News - Latest.