- Inflation is rising. Underlying inflation was higher than expected in July and now appears to be close to 3½ per cent, says Governor Svein Gjedrem.
 
Capacity utilisation in the Norwegian economy is still high and the labour market is tight. On the other hand, growth in the world economy is slowing markedly. New figures that have become available through summer indicate in particular a rapid slowdown in Europe. As expected, there are also signs of slower growth in the Norwegian economy.

The analysis in the Monetary Policy Report published in June indicated that the key policy rate will remain at the current level, or perhaps somewhat higher, in the coming year. - New information does not provide a basis for departing from the strategy set out in June, says Governor Svein Gjedrem.

For more information, see The Executive Board’s monetary policy decision – background and general assessment. 

• Charts and background material