Norway Economy Profile 2009

Economy - overview

The Norwegian economy is a prosperous bastion of welfare capitalism, featuring a combination of free market activity and government intervention. The government controls key areas, such as the vital petroleum sector, through large-scale state enterprises. The country is richly endowed with natural resources - petroleum, hydropower, fish, forests, and minerals - and is highly dependent on the petroleum sector, which accounts for nearly half of exports and over 30% of state revenue. Norway is the world's third-largest gas exporter; its position as an oil exporter has slipped to seventh-largest as production has begun to decline. Norway opted to stay out of the EU during a referendum in November 1994; nonetheless, as a member of the European Economic Area, it contributes sizably to the EU budget. In anticipation of eventual declines in oil and gas production, Norway saves almost all state revenue from the petroleum sector in a sovereign wealth fund. After lackluster growth of less than 1.5% in 2002-03, GDP growth picked up to 2.5-6.2% in 2004-07, partly due to higher oil prices. Growth fell to 2.6% in 2008 as a result of the slowing world economy and the drop in oil prices.

GDP (purchasing power parity)

$275.4 billion (2008 est.)
$268.4 billion (2007 est.)
$253.2 billion (2006 est.)
note: data are in 2008 US dollars

GDP (official exchange rate)

$456.2 billion (2008 est.)

GDP - real growth rate

2.6% (2008 est.)
6% (2007 est.)
4.4% (2006 est.)

GDP - per capita (PPP)

$59,300 (2008 est.)
$58,000 (2007 est.)
$54,900 (2006 est.)
note: data are in 2008 US dollars

GDP - composition by sector

agriculture: 2%
industry: 44.2%
services: 53.8% (2008 est.)

Population below poverty line

NA%

Labor force

2.591 million (2008 est.)

Labor force - by occupation

agriculture: 2.9%
industry: 21.1%
services: 76% (2008)

Unemployment rate

2.6% (2008 est.)
2.5% (2007 est.)

Household income or consumption by percentage share

lowest 10%: 3.9%
highest 10%: 23.4% (2000)

Distribution of family income - Gini index

25 (2008)
25.8 (1995)

Investment (gross fixed)

20.8% of GDP (2008 est.)

Budget

revenues: $266.2 billion
expenditures: $178.1 billion (2008 est.)

Public debt

44.2% of GDP (2008 est.)
33.1% of GDP (2004 est.)

Inflation rate (consumer prices)

3.8% (2008 est.)
0.8% (2007 est.)

Central bank discount rate

4% (31 December 2008)
6.25% (31 December 2007)

Commercial bank prime lending rate

3.5% (1st quarter 2009)
3.5% (1st quarter 2009)

Stock of money

$NA

Stock of quasi money

$NA

Stock of domestic credit

$NA

Industries

petroleum and gas, food processing, shipbuilding, pulp and paper products, metals, chemicals, timber, mining, textiles, fishing

Industrial production growth rate

-0.2% (2008 est.)

Electricity - production

142.7 billion kWh (2008 est.)

Electricity - production by source

fossil fuel: 0.4%
hydro: 99.3%
nuclear: 0%
other: 0.4% (2001)

Electricity - consumption

128.8 billion kWh (2008 est.)

Electricity - exports

17.3 billion kWh (2008 est.)

Electricity - imports

3.45 billion kWh (2008 est.)

Oil - production

2.565 million bbl/day (2007 est.)

Oil - consumption

224,500 bbl/day (2007 est.)

Oil - imports

92,650 bbl/day (2005)

Oil - exports

2.31 million bbl/day (2007)

Oil - proved reserves

6.865 billion bbl (1 January 2008 est.)

Natural gas - production

99.3 billion cu m (2008 est.)

Natural gas - consumption

6.5 billion cu m (2007 est.)

Natural gas - exports

85.7 billion cu m (2007 est.)

Natural gas - imports

0 cu m (2007 est.)

Natural gas - proved reserves

2.241 trillion cu m (1 January 2008 est.)

Current Account Balance

$83.5 billion (2008 est.)
$60.46 billion (2007 est.)

Agriculture - products

barley, wheat, potatoes; pork, beef, veal, milk; fish

Exports

$168.8 billion (2008 est.)
$137.3 billion (2007 est.)

Exports - commodities

petroleum and petroleum products, machinery and equipment, metals, chemicals, ships, fish

Exports - partners

UK 27%, Germany 12.8%, Netherlands 10.4%, France 9.4%, Sweden 6.5%, US 4.5% (2008)

Imports

$85.99 billion (2008 est.)
$77.03 billion (2007 est.)

Imports - commodities

machinery and equipment, chemicals, metals, foodstuffs

Imports - partners

Sweden 14.4%, Germany 13.4%, Denmark 6.9%, China 6.4%, UK 5.9%, US 5.4%, Netherlands 4.2% (2008)

Reserves of foreign exchange and gold

$50.95 billion (31 December 2008 est.)
$60.84 billion (31 December 2007 est.)

Debt - external

$558.5 billion (31 December 2008)
$540.3 billion (31 December 2007)
note: Norway is a net external creditor

Stock of direct foreign investment - at home

$91.49 billion (31 December 2008 est.)
$93.69 billion (31 December 2007 est.)

Stock of direct foreign investment - abroad

$160.1 billion (31 December 2008 est.)
$133.3 billion (31 December 2007 est.)

Market value of publicly traded shares

$142.5 billion (31 December 2008)
$357.4 billion (31 December 2007)
$281.1 billion (31 December 2006)

Economic aid - donor

ODA, $2.954 billion (2006)

Currency (code)

Norwegian krone (NOK)

Currency (code)

NOK

Exchange rates

Norwegian kroner (NOK) per US dollar - 5.6361 (2008), 5.86 (2007), 6.418 (2006), 6.445 (2005), 6.7327 (2004)

Fiscal year

calendar year