Norway Mainland GDP Grows 0.8%, Beating Forecasts

Norway’s economy expanded faster than expected in the second quarter, supported by continued growth in the mainland sector. Statistics released on 21 August show mainland GDP— which strips out offshore oil and gas—rose 0.8% quarter-on-quarter, exceeding the consensus forecast of 0.3%. The pace was slightly slower than the first quarter’s 1.0% gain but marked a second consecutive period of above-trend growth. The previous quarter’s figure was revised up to 0.1% from an earlier flat reading. Including petroleum activities and ocean transport, overall GDP increased 0.6% after a 0.1% contraction in the first three months of the year. The stronger-than-anticipated data suggest domestic demand remains resilient despite higher borrowing costs and softer external demand, reinforcing expectations that the central bank will maintain a restrictive policy stance.