The government of Prime Minister Erna Solberg, facing an election in September, is raising this year’s so-called structural non-oil fiscal deficit by more than 9 percent to almost USD 50bn (NOK 403bn) it said on Tuesday. Government withdrawals, as a share of the world’s biggest wealth fund, will reach 3.7 percent, compared with the central bank’s estimate of 3.3 percent.
"Fundamentally, it shows that the government sees a bigger need for fiscal support throughout this year," Handelsbanken analyst Marius Gonsholt Hov said in a client note.
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