Norway has gone from being a poor country to the third richest nation in the world, but still needs to focus on innovation, notes Minister of Trade and Industry, Mr. Børge Brende.
8/10/2005 :: In a speech to the Norwegian-American Chamber of Commerce in New York on January 18, the Minister talked about the dramatic changes that have swept through the Norwegian economy during the past hundred years. At the turn of the twentieth century Norway was one of the poorest countries in Europe. Today, only the U.S. and Luxembourg are wealthier nations.
“This has taught us a lesson about how things may change, and the importance of seizing any opportunity. We have to fight every day to keep our economy strong,” said Mr. Brende, and added that "change and adaptability does not create insecurity, but security."
The Norwegian economy is now the 23rd largest in the world, and Brende explained that the healthy development of Norwegian economy derives from determined steps taken by the Government: Even with record high petroleum revenues, the government has succeeded in keeping a broadly neutral fiscal policy. This has facilitated an expansionary monetary policy, and compared to 2002 the exchange rate is now more favorable for the exposed industries. The interest rate has been reduced by more than five percentage points since 2002. There is a robust growth in the Norwegian economy, employment has picked up and the growth in unemployment experienced by several other countries seems to have been avoided.
“Norwegian companies have to be innovative and creative to stand out in the fierce international competition. Our starting point is excellent due to a highly educated population, low wage span and advanced research and technology. If others are cheaper, we need to be better. There are more than enough challenges to focus on than challenges to worry about,” said the Minister.
Royal Norwegian Consulate General New York / Thomas Spence