Policy rate stays at 4.5 percent as inflation remains above target
Norges Bank Governor Ida Wolden Bache said the policy rate remains at 4.5 percent because inflation is still too high. The Committee remains prepared to raise the rate to return inflation to target within a reasonable time.
Inflation keeps rates elevated
At the Oslo press conference on November 5, 2026, Bache said the Monetary Policy and Financial Stability Committee had kept the policy rate at 4.5 percent.
Norges Bank targets inflation close to 2 percent over time while supporting maximum employment and economic stability.
Latest consumer price inflation was 3.4 percent, or 3.0 percent adjusted for tax changes and excluding energy.
Domestic goods and services prices rose fastest.
Unemployment was 2.0 percent, little changed since September, while employment appeared to have risen further.
The Committee raised the rate in September; subsequent information had not materially changed the economic outlook.
Bache said rates would probably need to remain elevated for a time.
Energy and krone pull apart
High labor cost growth is projected to sustain inflation.
Energy prices remain high, partly because of Middle East conflicts.
Since September, oil spot prices have fallen but oil, gas and electricity futures have risen.
A stronger krone dampens inflation in isolation.
High energy prices have also raised inflation abroad.
Several central banks have raised rates since summer, with further increases anticipated by Norges Bank.
Long-term interest rates rose earlier in autumn before partly retreating in recent weeks.
A hold without closure
The Committee says restrictive policy remains necessary because prolonged high inflation can become harder to reduce.
It remains particularly alert to persistent price pressures and prepared to raise rates.
December's meeting will bring new forecasts, with the rate path dependent on economic developments.
Source: We have kept the policy rate unchanged
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