Norway’s GDP fell in Q1 but should rebound in Q2

Norwegian mainland GDP declined by 0.6% q/q in Q1. Despite strongly growth in both February and March, a low starting point from weaker activity around the turn of the year caused the contraction. With the economy back close to its November 2021 peak in March, positive carryover effects should support a GDP rebound in Q2.

What you will learn:

• In H2, high inflation, renewed supply bottlenecks and rising interest rates are weighing on growth momentum.
• The economy began Q2 in good health. The registered unemployment rate held steady at 1.9%, and the manufacturing PMI ticked up again to 60.6.
• The April CPI reading saw inflation rise to 5.4% y/y, the highest reading since 1988.