Nicolaisen Among Applicants for Norges Bank Deputy Governor Job

Norges Bank Executive Director Jon Nicolaisen was among five applicants for the deputy governor job at the central bank.

The 54-year-old was on a list released today by the Finance Ministry as part of the public disclosure process.

The government is replacing Jan F. Qvigstad, who will step down when his term expires March 31. Scandinavia’s richest economy has a long history of picking insiders for top jobs at the bank. Current Governor Oeystein Olsen was plucked from the statistics agency, while Qvigstad was elevated from within the bank. Both had worked at the Finance Ministry, where Svein Gjedrem, the former governor, is now secretary general.

“He’s pretty much in line with the view that Norges Bank has been known for the past few years, after the financial crisis, where financial stability has gained more importance in monetary policy strategy,” said Kjersti Haugland, an analyst at DNB ASA. “I don’t think his entrance to the board as deputy governor will significantly change the policy. We don’t have any reason to expect him to be particularly dovish or hawkish.”

Nicolaisen has worked at the bank since 1995, while taking three years off from 2003 to 2006. He also held positions at the Finance Ministry, the Organization for Economic Cooperation and Development and the Reserve Bank of New Zealand.

The new deputy governor, who with the governor leads a seven-person board, will be charged with warding off a slowdown as Norway’s housing market deflates after prices almost doubled over the past five years. Exporters in western Europe’s largest oil producer are struggling to stay competitive as petroleum wealth filters into the $500 billion economy, pushing up wages.

Marianne Berge, Sherin Francis, Thorbjoern Johan Gaarder and Chair Yemlahi were also among applicants, according to the Finance Ministry.

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