• 55 mins BP To Invest $200 Million In Solar
  • 2 hours Tesla Opens New Showroom In NYC
  • 3 hours Petrobras CEO Hints At New Partner In Oil-Rich Campos Basin
  • 5 hours Venezuela Sells Oil Refinery Stake To Cuba
  • 11 hours Tesla Is “Headed For A Brick Wall”
  • 16 hours Norwegian Pension Fund Set to Divest From Oil Sands and Coal Ventures
  • 20 hours IEA: “2018 Might Not Be Quite So Happy For OPEC Producers”
  • 21 hours Goldman Bullish On Oil Markets
  • 22 hours OPEC Member Nigeria To Issue Africa’s First Sovereign Green Bond
  • 1 day Nigeria To Spend $1B Of Oil Money Fighting Boko Haram
  • 1 day Syria Aims To Begin Offshore Gas Exploration In 2019
  • 1 day Australian Watchdog Blocks BP Fuel Station Acquisition
  • 1 day Colombia Boosts Oil & Gas Investment
  • 2 days Environmentalists Rev Up Anti-Keystone XL Angst Amongst Landowners
  • 2 days Venezuelan Default Swap Bonds At 19.25 Cents On The Dollar
  • 2 days Aramco On The Hunt For IPO Global Coordinators
  • 2 days ADNOC Distribution Jumps 16% At Market Debut In UAE
  • 2 days India Feels the Pinch As Oil Prices Rise
  • 2 days Aramco Announces $40 Billion Investment Program
  • 2 days Top Insurer Axa To Exit Oil Sands
  • 3 days API Reports Huge Crude Draw
  • 3 days Venezuela “Can’t Even Write A Check For $21.5M Dollars.”
  • 3 days EIA Lowers 2018 Oil Demand Growth Estimates By 40,000 Bpd
  • 3 days Trump Set To Open Atlantic Coast To Oil, Gas Drilling
  • 3 days Norway’s Oil And Gas Investment To Drop For Fourth Consecutive Year
  • 3 days Saudis Plan To Hike Gasoline Prices By 80% In January
  • 3 days Exxon To Start Reporting On Climate Change Effect
  • 4 days US Geological Survey To Reevaluate Bakken Oil Reserves
  • 4 days Brazil Cuts Local Content Requirements to Attract Oil Investors
  • 4 days Forties Pipeline Could Remain Shuttered For Weeks
  • 4 days Desjardins Ends Energy Loan Moratorium
  • 4 days ADNOC Distribution IPO Valuation Could Be Lesson For Aramco
  • 4 days Russia May Turn To Cryptocurrencies For Oil Trade
  • 4 days Iraq-Iran Oil Swap Deal To Run For 1 Year
  • 7 days Venezuelan Crude Exports To U.S. Fall To 15-year Lows
  • 7 days Mexico Blames Brazil For Failing Auction
  • 7 days Norway Allows Eni To Restart Goliat Oil Field In Barents Sea
  • 7 days Malaysia Suggests Muslim Countries Stop Trading Oil In U.S. Dollars
  • 7 days Kinder Morgan Wins Appeal To Start Trans Mountain Work
  • 7 days Mexico Cancels Deepwater JV Tender Due To Lack Of Interest

Breaking News:

BP To Invest $200 Million In Solar

Is This The Beginning Of The Next Silver Rush?

Is This The Beginning Of The Next Silver Rush?

Far below the Nevada desert,…

Is This The Beginning Of The Next Silver Rush?

Is This The Beginning Of The Next Silver Rush?

Far below the Nevada desert,…

Norway Set to Use Record Oil Fund Money In 2017 Budget

Offshore North Sea

Norway’s government is expected to make a rare decision and use just over 3 percent from its giant US$899 billion oil fund - the world’s largest – in next year’s budget, local media report, citing estimates by the statistics office and investment banks.

The government has rarely used more than 3 percent of the Government Pension Fund Global, also known as Norway’s oil fund.

The Norwegian fiscal policy sticks to a fundamental rule, the so-called budgetary rule, under which the government may spend no more than the expected real return of the fund, which is estimated at 4 percent per year.

According to estimates by Statistics Norway SSB, DNB Markets and Nordea Markets, Conservative Prime Minister Erna Solberg and Finance Minister Siv Jensen will present this Thursday a budget bill that will envisage the use of US$28.18 billion (225 billion kroner) from the fund next year.

Last year, US$22.49 billion (179.6 billion kroner) was transferred from the fund to the budget.

As of the end of the second quarter of this year, the fund had a market value of US$898.8 billion (7.177 trillion kroner).

Some experts are not very happy with the proposals to use more oil money in the budget. Professor Øystein Thøgersen at the Norwegian School of Economics (NHH) has told NTB website that he was worried that Norway has been too dependent on oil money for a long time.

Various analysts expect Norway to ease fiscal stimulus next year compared to this year, because signs are emerging that the economy is on the road to recovery, Bloomberg reports.

In what many have seen as a ‘paradox’, Norway is planning to use money from the fund to finance clean energy initiatives and projects. The electric car market will be one of the sectors to benefit from the new program as “lucrative” subsidies from the fund will be used to ensure Norway becomes carbon neutral by 2030.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News