Norway plans US$63.6bn sovereign wealth fund withdrawal for 2027
Norway's minority Labour government proposes withdrawing 608.4 billion kroner (US$63.61 billion) from its US$2.3 trillion sovereign wealth fund in 2027, up from 583.4 billion in 2026. The plan requires negotiation with four centrist and left-wing parties to pass the budget. The government forecasts
Norway's minority Labour Party government said on Wednesday it plans to raise its spending level in 2027 from the country's US$2.3 trillion sovereign wealth fund to help cover public expenses.
The government proposed withdrawing 608.4 billion Norwegian crowns (US$63.61 billion) from the fund in 2027, up from a revised 583.4 billion in 2026, and must now negotiate with four centrist and left-wing parties to pass the budget.
Gross domestic product outside the oil industry is now expected to grow by 1.1 per cent this year, against 1.7 per cent growth seen in May. Growth is seen at 1.7 per cent in 2027, an increase from 1.6 per cent predicted previously.
"The budget proposal is estimated to have a neutral effect on the activity in the economy next year," the government said in a statement. It saw core inflation in 2026 at 3.1 per cent, down from 3.2 per cent seen in May, easing to a rate of 2.8 per cent in 2027 against 2.6 per cent seen previously.
The structural non-oil deficit for 2027, a key measure of how much money the government will spend from the wealth fund, was expected to be 2.7 per cent of the fund's projected value at the end of 2026, in line with the current year.