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- Norway Central Bank has decided to keep the key policy rate unchanged at 0.50 percent
Norway Central Bank has decided to keep the key policy rate unchanged at 0.50 percent
"In Monetary Policy Report 3/17, published on 21 September 2017, the Executive Board's assessment was that there was a continued need for an expansionary monetary policy. Capacity utilisation in the Norwegian economy was assessed to be below a normal level, and inflation was expected to remain below 2.5 percent in the coming years. The Executive Board's assessment of the outlook and the balance of risks suggested that the key policy rate would remain at 0.5 percent in the period ahead.
The Executive Board's assessment is that developments so far have been broadly in line with the picture presented in the September Report. New information does not provide a basis for changing the Bank's assessment of growth in the Norwegian economy. The improvement in the labour market appears to be continuing. Inflation has been slightly lower than projected, while the krone exchange rate is somewhat weaker than projected".
"The outlook and the balance of risks for the Norwegian economy do not appear to have changed substantially since the September Report. The Executive Board therefore decided to keep the key policy rate unchanged at this meeting", says Governor Øystein Olsen.
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