Norway’s central bank left its key interest rate unchanged on Thursday, in line with economists’ expectations, and suggested that the rate would most likely be raised in September.
The Executive Board decided to keep the key policy rate unchanged at 0.50 percent, the Norges Bank said.
In its June Monetary Policy Report, the board assessed that the interest rate will most likely be raised in the third quarter.
The board’s assessment is that the upturn in the Norwegian economy appears to be continuing broadly in line with the picture presented in the June Monetary Policy report, the bank said.
Underlying inflation is below the inflation target, but the driving forces indicate that it will rise further out, the bank added.
“The outlook and the balance of risks do not appear to have changed substantially since the June Report”, Governor Oystein Olsen said.