Finance Minister, Siv Jensen, of Fremskrittsparti (Frp) believes that now is a good time to tighten fiscal policy. She gave warning of the tougher approach in advance of the state budget for 2018 being presented on Thursday.
More funds will go to defence, roads, and hospitals, while other areas can’t rely on the same commitment. With an improvement in the Norwegian economy, Jensen will tighten up fiscal policy in Norway.
‘The growth in oil-fuel consumption next year will be lower than it has been in recent years. There is growth in the economy, it gives us scope for action, but we must prioritise more pointedly than we have done before,’ said Jensen to Dagbladet
After the slump in oil prices, which caused an oil and gas crisis, rising unemployment, and the asylum crisis, the Norwegian economy has recovered from those economic challenges, according to Jensen, who thinks it’s time to think pragmatically.
‘There are probably many who had hoped to gain more and are not satisfied. Everyone must lower their expectations somewhat. This is a budget for more security, and for increased growth, so that we can ensure our well-being. That must be prioritised.
Source: NRK / Norway Today