Other ADB Members

Sum of Measures 1—5 (Total Package)

Total Package in USD Million: 20,497
% of GDP (2019): 5.73%
% of Regional Total Package: N/A
Package Per Capita in USD: 3,856.84
Note: Measures 9 and 10 are added to the sum of Measures 1-5.
Measure Amount (Local) Amount (USD) Details Update Source
01 - Liquidity Support info_outline NOK30,660,477,273 USD3,000,000,000
01A - Short-term lending info_outline

March 27, The Government Bond Fund will contribute to increased liquidity and capital in the bond market by purchasing interest-bearing securities issued by Norwegian companies on market-based terms.

01B - Support policies for short-term lending info_outline

No amount/estimate: (i) Provision of additional liquidity to banks in the form of loans of differing maturities; (ii) The possibility for banks to borrow in USD against collateral; (iii) The possibility that banks can temporarily breach the liquidity coverage ratio (LCR).

01C - Forex operations info_outline NOK30,660,477,273 USD3,000,000,000

(i) March 31, Norges Bank annonces that it will purchase foreign currency during April, the equivalent of NOK 2 billion per day; (ii) The possibility for banks to borrow in USD against collateral; (iii) May 26, Norges Bank issued a max of USD3 billion US dollar denominated loans against approved collateral.

02 - Credit creation info_outline NOK50,500,000,000 USD4,941,214,667
02A - Financial sector lending/funding info_outline
02B - Support policies for long-term lending info_outline

No amount/estimate: (i) Reduction of the policy rate by 1.25% to 0.25%; (ii) March 13, Easing of countercyclical capital buffer by 1.5%; (iii) March 18, Lighter security pledges for access to loans from Norges Bank; (iv) March 23, Temporary easing of mortgage regulations, in particular increase in the percent of mortgages that can deviate from the regulations; (iv) May, reduction of the policy rate by an additional 0.25% to 0%; (v) Reduced lending rates for both risk and low-risk loans by 25 basis points each; (vi) June 11, increased flexibility quotas for loan mortgage regulations to the third quarter of 2020. This flexible quotas refer to requirements set by the Consumer Loan Regulations, including loan-to-value ratio, installment payment, and the customer's ability to service debt in relation to income; (vii) June 19, adopted new rules to simplify reconstruction negotiations for small businesses. [update]

02C - Loan guarantees NOK50,500,000,000 USD4,941,214,667

(i) March 27, In the state guarantee scheme for bank loans to small and medium-sized enterprises the state guarantees 90% of the loans within a total guarantee framework of NOK50 billion; (ii) May 20, Extended the loan guarantee scheme to apply to loans granted before June 1, 2020, and permitted banks to provide guaranteed loans even after June 1, 2020; (iii) Existing guarantee scheme for 90% corporate loans will be extended until further notice for the year; (iv) June 2, Agreement between Innovation Norway and the European Investment Fund to expand Norway's Growth Guarantee Scheme (GGS). For 2 years, the GGS will cover up to 75% of the loss of 14 Norwegian banks extending loans to innovative Norwegian companies. The GGS was already expanded by NOK 500 million, bringing the total program funding to NOK 1.9 billion. [update]

03 - Direct long-term lending info_outline NOK1,600,000,000 USD156,553,336
03A - Long-term lending info_outline NOK1,600,000,000 USD156,553,336

March 27, Increase borrowing limit in Innovation Norway’s loans scheme by NOK1.6 billion (Innovation Norway is the government's instrument for innovation and development of Norwegian enterprises and industry).

03B - Forbearance
04 - Equity support info_outline
05 - Government support to income/revenue NOK126,573,600,000 USD12,384,699,580
05A - Health NOK1,100,000,000 USD107,630,418

NOK1.1 billion for critical sectors: Health and social services have been given permission to exceed their budgets.

05B - Non-health NOK125,473,600,000 USD12,277,069,161

March 27: (i) NOK30.7 billion, mitigating income loss for businesses; (ii) NOK20.8 billion, mitigating income loss for persons; (iii) NOK5.5 billion, other compensation schemes; (iv) NOK2.7 billion, aviation sector support excluding guarantee portion; (iv) Automatic stabilizers: (a) NOK37 billion reduced tax revenues (Includes increased taxes due to the extensions of the unemployment benefit scheme and new income protection schemes for self-employed and freelancers), (b) NOK18  billion, increased expenditure on unemployment benefits, (c) NOK4 billion, increased sickness allowance; April 3: (v) Additional spending in the following areas: (a) help for students who have lost work income (NOK1 billion), (b) a temporary benefit for apprentices (NOK250 million), (c) compensation for reduced parental payment to after-school care (NOK1 billion), (d) skill development measures (NOK190 million), (e) home-based instruction (NOK 3 billion), (f) coronavirus information for immigrant groups (NOK6.6 million), (g) temporary purchase of basic rail transport services (NOK550 million), (h) deferrals for beverage taxes (NOK14 million), (i) deferral of fuel and mineral product taxes (NOK18 million), (j) exemption on natural gas taxes (NOK40 million), (k) suspension of the horse-racing tax(NOK 100 million), (l) support for temporarily laid-off employees with private pensions, and (m) support for the reindeer industry (NOK20 million); (vi) May 14; NOK500 million housing support funds to increase number of elibible to receive housing assistance; (vii) May 15, NOK15 million paid to six universities to provide education to the laid-off and unemployed; (viii) May 18, NOK20 million increased the support scheme for small and large companies that develop defense technology; (ix) June 8, NOK50 million to Norwegeian school and universities to pay for online training for unemployed and laid-off workers; (x) No amount/estimate: June 17, Business Compensation Scheme for companies facing decreasing turnover has been made more generous for seasonal companies. [update]

06 - Budget reallocation info_outline
07 - Central bank financing government
07A - Direct lending & reserve drawdown
07B - Secondary purchase: government securities
08 - International Assistance Received NOK306,604,772,727 USD30,000,000,000
08A - Swaps info_outline NOK306,604,772,727 USD30,000,000,000

March 19, Establishment of a swap facility of USD30 billion between Norges Bank and the US Federal Reserve (mutual currency arrangement). Amount outstanding as of June 11: USD5.4 billion.

08B - International loans/grants
08B1 - Asian Development Bank
08B2 - Other

See (iv) in Loan Guarantees of Measure 2.

09 - International Assistance Provided NOK144,104,243 USD14,100,000
09A - Swaps info_outline
09B - International loans/grants NOK144,104,243 USD14,100,000

As of May 28, USD14.1 million committed to the United Nations (UN) COVID-19 Response and Recovery Multi-Partner Trust Fund (COVID-19 MPTF).

10 - No breakdown
11 - Other Economic Measures

(i) The Government Bond Fund bond fund was created with a starting capital of NOK50 billion. The fund will be managed by Folketrygdfondet, a state-owned asset manager; (ii) Urging from the Ministry of Finance to banks and insurance companies to not distribute profits; (iii) Automatic stabilizers: NOK37 billion reduced tax revenues; NOK18  billion,increased expenditure on unemployment benefits; NOK4 billion, increased sickness allowance; (iv) May, The government has announced that oil production will be reduced until the end of the year.

12 - Non-Economic Measures

(i) Restrictions on stays outside resident municipality; (ii) 2. Border control measures included substantial restrictions on incoming foreigners; (iii) Schools and universities closed from 13 March to 13 April.; (iv) Curtailment of public events/gatherings; (iv) Reopening of daycare centres is scheduled progressively between the 20th and 27th April and reopening of primary schools and out-of-school programmes is scheduled for 27th April; (v) All schools and universities have reopened by May 8.