A More Hawkish Statement from Norwegian Monetary Authorities

March 16, 2011

While leaving their key policy interest rate at 2.0% for a seventh straight meeting, officials at the Norges Bank released a statement that bumps the projected policy rate range for the coming three months to 1.75-2.75% from 1.50-2.00% predicted three months ago for the quarter that is ending shortly.  Firm Norwegian economic activity ahead and […] More

No Change in Norway’s Key Central Bank Rate

December 15, 2010

Norway has not experienced the kind of explosive recovery that neighboring Sweden has enjoyed.  Real GDP contracted sharply in the third quarter and was even lower than its level in 3Q09.  Even though activity picked up this quarter, core consumer price inflation in Norway is hovering around 1.5% and expected to remain around there well […] More

Norwegian Policy Interest Rate Left at 2.0%

October 27, 2010

As expected, the Norges Bank did not change monetary policy at this time.  A released statement implied that further changes are unlikely before March and that the subsequent upward path toward more normal interest rate levels will commence later than assumed in the June Policy Report because inflation since then as been lower than expected.  […] More

Norwegian Benchmark Interest Rate Kept at 2.0% But Statement Less Dovish

September 22, 2010

Similar to decisions at the prior two meetings on June 23 and August 11, the Norges Bank retained a 2.0% interest rate but gave a stronger signal of its intent to resume a normalization of rate levels. The statement in June said that further rate increases would be needed later than previously envisaged and mentioned […] More

Norwegian Policy Interest Rate Left at 2.0%, 75 Basis Points Above Cyclical Low

August 11, 2010

Moderate growth and sightly sub-target inflation give Norway’s monetary authorities leeway to normalize interest rates at a gradual pace.  That’s the essential message of a statement released today after the policy rate was left at 2.0% for the second consecutive meeting.  The trough of 1.25% was maintained from June 2009 until October 2009.  The rate […] More

Further Norwegian Monetary Tightening Delayed

June 23, 2010

The policy interest rate of the Norges Bank was kept at 2.0%, and a released statement from the Executive Board of the central bank expressed the view that the rate “should be held at the current level for a period and then gradually raised towards a more normal level.”  A range of 1.5-2.5% was projected […] More

A Third Rate Hike in Norway But the First of 2010

May 5, 2010

The Norges Bank implemented a third 25-basis point rise of its key central bank policy rate to 2.0%.  Analysts had been split over whether this would be done today, and officials released a statement that admitted that a decision to leave the rate at 1.75% had also been considered.  The previous rate increase was made […] More

Norway’s Central Bank Rate Left Unchanged

February 3, 2010

The conventional wisdom among central bank watchers coming into this week was that policy rates would be lifted by 25 basis points in Australia to 4.0% and Norway to 2.0%.  Neither central bank complied.  A released statement from the Norges Bank does not mention if the option of hiking a third time was mentioned, meaning […] More