Norway Affected by Special Operation in Ukraine, Reports Reuters

Norway's economy has only recently recovered from the pandemic, but it is already facing negative consequences from the Ukrainian crisis, reports Reuters, citing Norwegian statistics.

"The Ukrainian crisis significantly limits the growth prospects of our trading partners in Europe, which in turn adversely affects Norway’s economy," the agency's publication states.

The statistical office forecasts that the Central Bank of Norway may have to raise the refinancing rate four times in 2022 and once again in 2023. Thus, the refinancing rate of the Central Bank of Norway is expected to reach 1.75% by the end of next year.

Norwegian economists also anticipate that GDP growth in all sectors, except for oil production, will be 3.6% instead of the expected 4.1%.

"We hope that the Ukrainian crisis will end in a few months; otherwise, Norway's economy will suffer even more," the media notes.