“Whether additional tightening will be needed depends on economic developments. There will likely be one additional policy rate hike, most probably in December”, says Governor Ida Wolden Bache. Inflation is high and markedly above the 2 percent target. Persistently high inflation imposes substantial costs on society. The Committee judges that a somewhat higher interest rate is needed to bring inflation down to target within a reasonable horizon. Growth in the Norwegian economy has slowed, but the labour market remains tight. Business costs have increased considerably in recent years, and labour costs are expected to ... (full story)