Norway in deficit for the first time in over 25 years

Norwegian coins shaped like an unhappy faceNorwegian coins shaped like an unhappy face.Photo:NTB SCANPIX

Norway’s expenditure is for the first time since the mid-90s, exceeding revenues, the state accounted for the second quarter in these calculations.

Figures from Statistics Norway (SSB) show that the central government’s total revenues in the second quarter of this year were 328 billion NOK, which is 2.3 percent less than in the same quarter last year. In 2015, there was a total revenue of 336 billion NOK.

– There is still lower revenues from petroleum activities in the form of petroleum taxes and withdrawals from the state’s direct financial interest (SDFI) explaining the decline in total revenues.

Tax revenues from petroleum has more than halved in the quarter compared to Q2 2015 from 46 billion to 23 billion. Total tax revenue in government accounts for the fall by 8.3 percent, SSB wrote.

Total government expenditure has in one year increased sharply, which has led to a loss of about 5 billion during the first four months.

In the second quarter last year expense items totalled 308 billion, while at the same time this year has increased to 333 billion. There is an increase of 8 percent.


Source: NTB scanpix / Norway Today