Norway’s 2019 budget
Proposed budget cuts taxes, increases funds to humanitarian aid
Norwegian Ministry of Finance
“The Norwegian economy is doing well. Businesses are investing more and employment is rising throughout the country. We are using the good times to secure a sustainable welfare state and a safer Norway,” says Minister of Finance Siv Jensen.
Given favorable economic conditions, a tighter fiscal stance will allow the majority of new jobs to be created in the private sector. The 2019 fiscal budget has a neutral impact on the Norwegian economy. Spending of oil revenue amounts to 2.7 percent of the Government Pension Fund Global (GPFG), in line with the fiscal rule, which says that transfers from the GPFG to the government budget shall, over time, follow the expected real return on the fund, estimated at 3 percent.
The government maintains its growth-supporting policies by cutting taxes and duties in the 2019 budget.
“We are constructing roads and railways at a rapid pace, and we continue to promote research and innovation and build competence,” says Jensen.
The political platform for this government included getting people back into the workforce and encouraging integration into Norwegian society. In the budget, spending on inclusion and integration is increased.
“Companies are now hiring, and we should use the good times to include more people in the workforce. At the same time, we must provide targeted support to families who struggle financially. The government will increase housing support and provide a larger number of low-income families with free part-time access to daycare,” says the minister.
The government is also increasing spending on Norwegian armed forces, police security service, and the police force.
The country’s security is also shaped by circumstances outside the Norwegian border.
“We propose an elevated level of targeted foreign aid, including to the fight against marine litter. In this way, Norway contributes to development and stability globally, and provides support for common solutions to global challenges,” Jensen says.
Read more about the proposed budget at www.regjeringen.no/en/aktuelt/a-budget-to-promote-employment-welfare-and-security/id2613982.
This article originally appeared in the October 19, 2018, issue of The Norwegian American. To subscribe, visit SUBSCRIBE or call us at (206) 784-4617.