Norway May Deliver First Rate Cut Since 2009 on Euro Debt Crisis
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Norway’s central bank will probably reduce its benchmark interest rate for the first time in more than two years as Europe’s debt crisis threatens growth and policy makers seek to check gains in the krone.
Norges Bank will cut its overnight deposit rate to 2 percent from 2.25 percent today, reversing part of a tightening cycle that began in October 2009, according to 10 of 17 economists surveyed by Bloomberg. Two predict a 0.5 percentage point cut, while five forecast an unchanged rate. The decision is scheduled for 2 p.m. in Oslo.