The key Interest rate unchanged at 1,5%

Øystein Olsen, Governor of The Norwegian Central Bank, declared today that the key interest rate will remain unchanged at 1,5%
Acc.  deputy Governor Jan. F. Qvigstad one of the main reasons for leaving the rate at the same level as it has been since March, is slow growth among our trading partners, and low interest rates in competing countries. In Norway inflation is low. The "no change" was expected.

There are evidence that inflation will gradually rise in the Norwegian Economy. This implies that the key rate may gradually be increased, says deputy governor.

Sweden cut its prime rate by 0,25% on Tuesday, leaving the comparable rate at 1.0 %. Reasons beeing cited  low inflation, and an increasingly sluggish economy.

There are diverging views on the future development of the Norwegian interest rate. The Central Bank could have motives to increase the rate to curb debt increases by private households and reduce pressure on housing prices. An increase in the rate would put pressure on the NOK in relation to the currencies of our major trading partners, were difficult economc situations prevail

The Norway Post