Other ADB Members
Sum of Measures 1—5 (Total Package)
|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.