In October 1997, it was announced that Forsberg would be playing for the Swedish national team in the Karjala Cup, though he was forced to withdraw from the team after just one practice session after experiencing continued problems with his foot. The following year, he competed in the 1998 Winter Olympics in Nagano, Japan, in the first Olympic competition including NHL players. Forsberg recorded five points over four games as Sweden finished without a medal at fifth place. Several months later, competing in the 1998 World Championships, Sweden won a gold medal. Forsberg had recorded 11 points over seven games.