Norway’s mainland economy sees higher growth: report

New figures from Norway’s statistics bureau showed higher three-month growth in Norwegian mainland economy, online newspaper E24 reported Tuesday.

Norway’s mainland gross domestic product (GDP) saw increase of 0.3 percent from April to May and 0.7 percent from March to May, the report said.

Growth in fisheries and aquaculture contributed to this outcome while there was offset in the service industries, building and construction, commodity and electricity production.

The figures showed that industrial production is also growing more than expected and that higher oil investments also contributed to the growth.

“Everything that is oil-related looks very good. Higher investments are positive for companies that provide services to the oil industry,” Erik Bruce, chief analyst in capital markets operator Nordea Markets, told E24.

According to Bruce, the second quarter was a very good quarter for the Norwegian economy and there is a tendency of a growth of one percent.

He expected the central bank to raise key rate in September. The current key rate is 1.25 percent.

Bruce also expected decrease of the unemployment rate, as 50,000 people are to be employed annually, while the population will grow by 25,000, the report said.

However, due to better development in other countries, several companies in Norway reported problems in obtaining qualified foreign labour, specifically in building and construction industry, Bruce said.