The Norges Bank held its key policy rate at 1 percent during its May meeting, after a 25bps hike in March, saying that capacity utilisation in the Norwegian economy was slightly above a normal level and underlying inflation was a little higher than the 2 percent inflation target. Policymakers still expect a policy rate increase in the course of the next half-year despite uncertainty surrounding global developments. Interest Rate in Norway averaged 4.07 percent from 1991 until 2019, reaching an all time high of 11 percent in September of 1992 and a record low of 0.50 percent in March of 2016.
Interest Rate in Norway is expected to be 1.15 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Norway to stand at 1.20 in 12 months time. In the long-term, the Norway Interest Rate is projected to trend around 1.75 percent in 2020, according to our econometric models.