Bank of Norway
May 7, 2020
The Bank of Norway‘s policy interest rate was cut 25 basis points to zero percent. That’s down from 1.5% prior to reductions of 50 basis points on March 13 and 75 bps one week later. Officials at the central bank observe an abrupt drop in the economy, accentuated by lower oil prices for this energy exporter and krone depreciation. Monetary stimulus cannot prevent a downturn in Norway’s economy but hopefully will dampen its severity and promote a faster rate of eventual recovery.
Copyright 2020, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of Norway
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