With an aggregate Gross Domestic Product (GDP) exceeding USD 1.8 trillion and a combined population of 27 million people, the Nordics are of genuine interest to many U.S. companies with leading and advanced products, technologies, and services. • Norway is a modern, energy-rich country with a popu Contact online >>
With an aggregate Gross Domestic Product (GDP) exceeding USD 1.8 trillion and a combined population of 27 million people, the Nordics are of genuine interest to many U.S. companies with leading and advanced products, technologies, and services. • Norway is a modern, energy-rich country with a population of 5.5 million.
Market research on consumer products, commercial industries, demographics trends and consumer lifestyles in Norway. Includes comprehensive data and analysis, tables and charts, with five-year forecasts.
The snapshot offers a concise summary of the Norway''s economic trends and prospects, drawing from the OECD Economic Survey, Economic Outlook, and Economic Policy Reform: Going for Growth reports, delivering in-depth analyses of economic trends, suggested policy recommendations, alongside an overview of structural policy developments.
In 2023, real GDP growth in Norway slowed to 1.2%, due to a drop in household consumption, but it continued to outperform the Western European average, thanks to strong per capita expenditure. Despite declining imports and exports, due to global supply chain interruptions, Norway managed to achieve a budget surplus in 2023, supported by its
The Economic trends articles describe the economic situation in Norway and abroad and give estimates of the main economic variables for the current year and the three subsequent years. The forecasts are mainly prepared by researchers in the research department.
The Norwegian market offers many attractive opportunities for U.S.
Published: 15 February 2023
The reopening and removal of infection control measures early in 2022 led to increased service consumption, normal operations in the industries that were restricted by the pandemic and a large workload for businesses. The service industries that were affected by the pandemic contributed the most to GDP measured in constant prices. Most of the recovery after the pandemic was completed in the autumn of 2021, but since activity in parts of the economy was limited in 2021, there was a significant positive overhang into 2022.
– During the pandemic, there were great uncertainties about which long-term consequences the lockdown measures could have. The economy proved to be more resilient than most expected, and instead of long-term low activity and waves of bankruptcies and exclusions from the labour market, employment increased quickly and economic activity recovered, says Head of National Accounts, Pål Sletten.
The labour market has been strong in 2022, but growth in the number of jobs slowed towards the end of the year. Employment increased quickly after the pandemic and has grown since the second half of 2021. Labour participation has been high, and unemployment is low.
Although many prices increased in 2022, the increase in the price of oil and gas overshadowed all other prices in 2022. Measured in current prices, total GDP increased a solid 32.2 per cent, corresponding to 1 358 billion NOK, which is the highest measured growth in the national accounts. Although there were broad price increases in 2022, it was mainly the rise in the price of oil and gas that contributed to the enormous growth in nominal GDP. Since these are exported goods, Norway''s trade balance is estimated at 1 579 billion NOK in 2022.
The large increase in electricity and petrol prices has given business increased production costs, which has been a significant reason for the high prices in 2022. It seems that businesses have largely managed to transfer the increase in costs to the retail prices, so that the operating results have remained good. This has led to a significant increase in consumer prices, which has reduced households'' purchasing power. It is likely that the financial support households received during the pandemic has helped to keep demand up.
– Despite increased prices and interest rate hikes, household consumption increased significantly in 2022. Households have saved a lot during the pandemic, so they have been able to use their savings in 2022, says Sletten.
Figure 1. Gross domestic product and household final consumption expenditures. Rolling three-month sum. Seasonally adjusted. Volume indices. 2019=100 Show as chart Show as table
In December, GDP for Mainland Norway increased 0.4 per cent, and 0.8 per cent in the quarter. Wholesale and retail trade contributed most to the growth, and this is due to a sharp rise in car purchases. The imports of motor vehicles sometimes come in large batches. The purchases may have taken place a while ago. But they are registered in the national accounts only when the shipments arrive in Norway.
The large increase in car purchases at the end of the year, especially in December, is mainly due to an increase in car taxes from January 2023, but also production constraints and delays earlier in the year. The increase in wholesale and retail trade also leads to higher tax revenue, which helps to raise GDP. Excluding wholesale and retail trade and net product taxes, GDP for Mainland Norway increased 0.6 per cent. Increased car purchases also led to an increase of 12.8 per cent in household consumption of goods in December. Excluding car purchases, however, goods consumption fell 1.5 per cent in December.
The service industries, including dwelling services, increased 1.4 per cent in the fourth quarter. Increased activity in wholesale and retail trade contributed most to the growth as a result of an enormous growth in car purchases. Professional, scientific and technical activities as well as the sale and real estate activities also contributed to the growth.
Other goods production, which includes the primary industries, electricity production and construction, fell 0.3 per cent in the fourth quarter. The decline is mainly due to a decrease in the activity in traditional fishing. Increased electricity production helped dampen the decline somewhat. These are resource industries that are affected by non-cyclical conditions that can vary from year to year. At the same time, the industries are more volatile than other industries. Increased activity in construction as well as aquaculture also helped to moderate the decline.
Activity in manufacturing and mining fell 0.4 per cent from the third to the fourth quarter. It was particularly the production of computers and electrical products, furniture and other industrial production, and chemical raw materials that contributed to the decline. The manufacturing industry has been characterized by a scarcity of labour and logistics challenges on the world market in 2021 and 2022, but the scarcity of inputs and labour was mitigated during 2022.
Overall, household consumption increased a solid 11.4 per cent measured in current prices in 2022. This is due both to a strong increase in volume of 6.5 per cent, but also to increased prices.
In the fourth quarter, household consumption increased 5.9 per cent as a result of a strong rise in goods consumption. Goods consumption increased 8.5 per cent in the last quarter of the year and was mainly driven by an increase in car purchases. Excluding car purchases, goods consumption increased by only 0.2 per cent in the fourth quarter. Increased electricity consumption also contributed to increase the consumption of goods. Service consumption increased 1.1 per cent from the third to the fourth quarter. Recreation and culture services and passenger transport contributed the most to the rise, while consumption of restaurant and hotel services fell somewhat.
Norwegians'' consumption abroad increased 20.4 per cent, and foreigners'' consumption increased 3.7 per cent in the fourth quarter.
Total consumption in general government increased 0.1 per cent from 2021 to 2022. In the fourth quarter, consumption in general government increased 0.9 per cent. Consumption in central government increased 2.3 per cent, while it decreased by 0.4 per cent in local government.
Gross investments for Mainland Norway increased 1.1 per cent in the fourth quarter. It was mainly driven by an increase in service activities incidental to oil and gas. Investments in dwelling services rose 1.4 per cent. Overall, gross investments for Mainland Norway increased 6.6 per cent from 2021 to 2022.
Norway''s trade balance is estimated to 1 579 billion NOK in 2022, corresponding to an increase of 190 per cent from last year''s record figure. Total exports are estimated to 3 101 billion and were twice the size of imports. The rise was mainly driven by enormous price increase in crude oil and gas. Measured in constant prices, exports rose only 5,9 per cent, while imports increased 10.1 per cent.
In the fourth quarter, exports fell 0.8 per cent, measured in constant prices and adjusted for normal seasonal variation. The decline was mainly driven by crude oil and gas, but also traditional goods. Measured in current prices, exports fell 10.3 per cent from the third to the fourth quarter but are still 21 per cent higher than in the fourth quarter of 2021.
Total imports increased 2.6 per cent measured in constant prices. Traditional goods and services contributed to the rise, while ships, oil platforms and aircraft dampened the growth.
Employment increased 0.4 per cent in the fourth quarter, adjusted for normal seasonal variations. Education, information and communication, as well as administrative and support service activities contributed most to the rise. The number of hours worked increased 0.4 per cent. In 2022 employment increased 3.9 per cent, which is the highest growth since 2007.
In connection with new monthly figures, there will be revisions. The statistics used will not normally change for previous months. Seasonally adjusted series can, however, be affected, since the basis for the seasonal adjustment changes when new periods are added. The National Accounts has published an article on the revisions in the monthly national accounts.
The major changes in the Norwegian economy during the COVID-19 pandemic may have led to relationships between indicators and accounting figures being different than in normal periods. The quarterly figures in 2021 and 2022 must therefore be regarded as more uncertain than usual.
To get the best possible experience using our website, you should upgrade to a newer version of Internet Explorer, or use other browser alternatives. If you are using a computer at work, contact your IT administrator.
For full functionality of this site it is recommended to enable JavaScript.
What does it take to succeed in Norway’s evolving business environment? Market research in Norway offers actionable insights into consumer behaviors, market trends, and competitive dynamics, driving informed decision-making, mitigating risks, and fostering sustainable business strategies.
Market research in Norway analyzes the local market to make informed business decisions. It involves studying consumer behavior, market trends, competitor landscapes, and regulatory environments specific to Norway. That’s why conducting market research in Norway allows businesses to understand Norwegian consumers’ unique preferences, needs, and buying behaviors.
About Industry and market trends norway
As the photovoltaic (PV) industry continues to evolve, advancements in Industry and market trends norway have become critical to optimizing the utilization of renewable energy sources. From innovative battery technologies to intelligent energy management systems, these solutions are transforming the way we store and distribute solar-generated electricity.
When you're looking for the latest and most efficient Industry and market trends norway for your PV project, our website offers a comprehensive selection of cutting-edge products designed to meet your specific requirements. Whether you're a renewable energy developer, utility company, or commercial enterprise looking to reduce your carbon footprint, we have the solutions to help you harness the full potential of solar energy.
By interacting with our online customer service, you'll gain a deep understanding of the various Industry and market trends norway featured in our extensive catalog, such as high-efficiency storage batteries and intelligent energy management systems, and how they work together to provide a stable and reliable power supply for your PV projects.
