Norway raises key interest rate again to fight inflation
Norway’s central bank says it's raising its key interest rate by a quarter-percentage point to combat high inflation
By AP News
Published - Aug 17, 2023, 04:58 AM ET
Last Updated - Aug 17, 2023, 04:58 AM EDT
COPENHAGEN, Denmark (AP) — Norway’s central bank said Thursday that it is raising its key interest rate by a quarter-percentage point to combat high inflation.
Norges Bank is hiking the rate to 4%, the highest level since 2008. It says inflation — which reached 5.4% in July — ”has edged down but remains high and markedly above the target” of 2%.
“A somewhat higher policy rate is needed to bring inflation back to target,” according to the central bank.
Bank Gov. Ida Wolden Bache said ”the future policy rate path will depend on economic developments” and added that the rate would most likely be raised again next month.
