Press

SSB believes that a reduced decline in oil investments coupled with growth in house-building activity and exports may lead to an upturn in the economy from early next year, assuming no further reduction in interest rates. Oil prices have risen significantly from very low levels early in 2016, but the negative impulses from the petroleum sector continue to dominate. The fall in oil prices that began in summer 2014 has exacerbated the downturn in petroleum industry investments, which had already begun before the end of 2013. A weaker krone, low interest rate levels and an expansionary fiscal policy have counteracted the effects of the fall in demand from the Norwegian and international petroleum industries. SSB's calculations suggest that unemployment has peaked, but that we will only see a slight fall over the next few years. (Norway Post)