IMF Staff Country Reports

Norway’s economy has shown resilience amid global uncertainty, supported by
strong fiscal buffers, a credible policy framework, and a robust net external asset
position. These fundamental strengths should help Norway steer through the
challenging external backdrop of increasing geopolitical tensions and trade policy
frictions. Ahead of the September national elections, the fiscal stance remains
expansionary, driven by increased defense spending. Monetary policy remains restrictive
to address above-target inflation. While structural reforms have gained new momentum,
with a reinforced focus on labor participation and public sector efficiency.