Norges Bank Holds Policy Rate As Expected

(RTTNews) - Norway's central bank maintained its interest rate on Thursday as any premature easing could push up prices rapidly.

The Monetary Policy and Financial Stability Committee of Norges Bank decided to hold the policy rate at 4.50 percent.

The interest rate has been at the current level since December 2023.

Although there is uncertainty about future economic developments, the current assessment indicates that policy rate will most likely be reduced in the course of 2025.

"Trade barriers have become more extensive, and there is uncertainty about future trade policies," Deputy Governor Pål Longva said. "This may pull the interest rate outlook in different directions," Longva added.

The committee said it will have received more information about economic developments ahead of its next monetary policy meeting in June, when new forecasts will be presented.