Solberg: Use of oil money will be reduced

Continued clear majority in Parliament for the Monarchy SolbergThe Norwegian storting (Parliament). Photo: Norway Today Media

Solberg: Use of oil money will be reduced

Even before the bourgeois parties have started their talks on cooperation, Prime Minister Erna Solberg warns that the economic is going to be tighter in the time to come.

 

The Norwegian economy is improving, which will give the Government winds in the sails for 2018. But at the same time, the time to spend ever more oil money to lubricate negotiations and thereby “bribe” the Liberals and Christian Democratic partners is probably over.

– It will be tighter in the sense that we can not continue the same expansive policy as we have done in terms of oil money use, says Prime Minister Solberg (Conservatives) to NTB.

– At the same time, there will be higher income in the form of tax revenues, because of more activity in the Norwegian economy, she adds.

a renewed Parliament, burgoius Co-operation, New faces in Solberg’s Government and National Budget for 2018. The election was just the start of a rich political autumn.

Many alternatives

Obtaining a majority for the 2018 budget will be the actual deadline for the talks Solberg Thursday evening begins with the Liberals, the Christian Democrats and the Progress Party. A major change in the next period is that the Conservatives and the Progress party depend on support from both the Liberals and the Christian Democrats to achieve a majority, against only one of them today.

The election gave non-socialist majority with 88 mandates, but it is unclear what form the cooperation will have. Here are some possible outcomes, given that the Conservative / Progress Party Government continue:

  • The Government does not achieve any kind of agreement with the Liberals and Christian Democrats and therefore must seek support on an issue by issue basis to gain a majority in the Parliament.
  • A form of agreement with The Liberals and Christian Democrats regarding support is established.
  • The Conservatives and The Progress Party allows the Liberals into the Government and seek support from Christian Democrats or other parties on budget and individual issues.
  • The Christian Democrats and the Liberals both join the Government. This alternative seems unlikely because both the Liberals and especially Christian Democrats primarily wish for a centre-Conservatives Government.

The Liberal parliamentary group convenes Wednesday to prepare a mandate before the negotiations. A similar process is under way in Christian Democrats.

Costly

October 12, Minister of Finance, Siv Jensen (Progress Party), briefs the Parliament on the Government’s proposal for a national budget for 2018. Well ahead of Yule tide, the Government must have achieved a majority for its proposal.

Last year, the four parties reached an agreement in extra time added to overtime after a long-lasting dispute on vehicle taxes.

It has also been costly for the government to achieve budget agreements with The Liberals and Christian Democrats, and The Liberals have several times warned against spending more oil monies.

Solberg reminds of the 3% rule that limits the use of oil money. -Even though we have been below that to date, the distance to it is less in the years to come, simply because oil revenues are not growing that much, she says.

Changes in Parliament

The 162th Parliament session convenes Monday, October 2, while the constituent assembly will take place on Saturday, October 7.

Monday, October 9, the National Assembly is constituted, and the following day follows the throne debate in a Parliament where the Center Party has almost doubled in size and Red is represented for the first time.

In mid-October, there will also be at least one change in the Government, as Minister of Foreign Affairs, Børge Brende (Conservatives), resigns in order to become president of the World Economic Forum.

It is, nevertheless, common to renew the crew after an election. However, the extent of changes in Government will depend on how the talks between the four parties are going. If either the Liberals or Christian Democrats enter the Government, there will naturally be more changes.

 

© NTB Scanpix / Norway Today

 

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