Norges Bank holds interest rates at 4.5%
By Michele Maatouk
Date: Thursday 08 May 2025
(Sharecast News) - Norway's central bank left interest rates on hold on Thursday at a 17-year high of 4.5%, as expected.
Deputy Governor Paal Longva said: "The Committee has decided to keep the policy rate unchanged. Inflation is still above target. If the policy rate is lowered prematurely, prices may continue to rise rapidly."
On the other hand, Norges Bank said, an overly tight monetary policy could restrict the economy more than needed to bring inflation down to target.
Longva said trade barriers have become more extensive and there is uncertainty about future trade policies.
"This may pull the interest rate outlook in different directions," he said. "There is uncertainty about future economic developments, but the Committee's current assessment of the outlook implies that the policy rate will most likely be reduced in the course of 2025."
Special promo:
Trading the Forex Market? Visit FXmania.com to get advanced infomation about currencies and the Foreign Exchange
Market.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN