Norwegian Central Bank Rate Hike
March 24, 2022
The Bank of Norway‘s policy interest rate was increased today by 25 basis points to 0.75%, matching incremental increases last September and December from a pandemic low of zero percent. The move was supported by all members of the Monetary Policy and Financial Stability Committee. However, a released statement served notice that inflation and wage growth, which have exceeded expectations, are being monitored carefully and that “if there are prospects of persistently high inflation, the policy rate may be raised more quickly.” Officials now suspect that the inflation rate will need to be lifted to around 2.5% by end-2023.
Copyright 2022, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of Norway
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