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||
27 March 2020, 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) 31 March 2020, 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) 26 May 2020, 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|
|02B1 - Interest rate reductions||
No amount/estimate: (i) Reduction of the policy rate by 1.25% to 0.25%; (ii) May 2020, 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;
|02B2 - Other policies to support long-term lending||
(i) 13 March 2020, Easing of countercyclical capital buffer by 1.5%; (ii) 18 March 2020, Lighter security pledges for access to loans from Norges Bank; (iii) 23 March 2020, Temporary easing of mortgage regulations, in particular increase in the percent of mortgages that can deviate from the regulations; (iv) 11 June 2020, 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; (v) 19 June 2020, adopted new rules to simplify reconstruction negotiations for small businesses; (vi) 11 September 2020, temporary changes to the mortgage regulation will not be extended. The mortgage regulation allows a certain amount of a lender’s approved loans to deviate from the requirements in the regulation. Increased quotas (20%) will end on September 30.
|02C - Loan guarantees||NOK50,500,000,000||USD4,941,214,667||
(i) 27 March 2020, 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) 20 May 2020, 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) 2 June 2020, 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.
|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||
27 March 2020, 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 - Health and income support||NOK132,138,639,773||USD12,929,215,543|
|05A - Health support||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 - Income support||NOK131,038,639,773||USD12,821,585,125|
|05B1 - Tax and contribution deferrals and policy changes||NOK32,000,000||USD3,131,067||
3 April 2020, (a) deferrals for beverage taxes (NOK14 million), (b) deferral of fuel and mineral product taxes (NOK18 million),
|05B2 - Tax and contribution rates reduction||NOK140,000,000||USD13,698,417||
(i) 3 April 2020, (a) exemption on natural gas taxes (NOK40 million), (b) suspension of the horse-racing tax (NOK 100 million); (ii) 20 July 2020, No amount/estimate: owners of machinery and industrial equipment allowed to depreciate the value of these assets by an additional 10%.
|05B3 - Wage support and subsidies to individuals and households||NOK91,861,600,000||USD8,988,274,956||
(i) NOK20.8 billion, mitigating income loss for persons; (ii) NOK5.5 billion, other compensation schemes; (iii) 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; (iv) April 3, 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) support for temporarily laid-off employees with private pensions; (iv) May 14; NOK500 million housing support funds to increase number of elibible to receive housing assistance; (v) 15 May 2020 , NOK15 million paid to six universities to provide education to the laid-off and unemployed; (vi) 8 June 2020, NOK50 million to Norwegeian school and universities to pay for online training for unemployed and laid-off workers; (vii) No amount/estimate: 26 June 2020, expanded the compensation scheme to include organizers from cultural sector. Sports and volunteering are now also eligible; (viii) No amount/estimate: 24 August 2020, extended the temporary unemployment benefit scheme through the rest of the year 2020.
|05B4 - Subsidies to business||NOK33,610,000,000||USD3,288,598,514||
(i) 27 March 2020, NOK30.7 billion, mitigating income loss for businesses; (ii) NOK2.7 billion, aviation sector support excluding guarantee portion; (iii) 3 April 2020, support for the reindeer industry (NOK20 million); (iv) 18 May 2020, NOK20 million increased the support scheme for small and large companies that develop defense technology; (v) No amount/estimate: 17 June 2020, Business Compensation Scheme for companies facing decreasing turnover has been made more generous for seasonal companies. (vi) 25 June 2020, Lufthavndrift AS will receive approximately NOK70 million in grants in 2020 from Avinor AS, a state-owned company; (vii) No amount/estimate: 1 July 2020, companies and organizations can receive support for re-employing laid-off workers; (viii) 20 July 2020, NOK100 million subsidy for bus and passenger boat companies. (viv) 3 August 2020, NOK90 million support to Torp Sandefjord Airport.
|05B5 - Indirect income support||NOK2,840,000,000||USD277,882,171||
(i) 6 July 2020, NOK1.6 billion Ministry of Education spending on schools, education and research related to coronavirus, of which NOK906 million to Norwegian Counties to support laid-off employees; (iii) 13 July 2020, NOK250 million additional grants to finance the maintenance of resorts and amusement parks; (iv) 19 August 2020, NOK900 million new stimulation scheme and continuation of the compensation scheme for the cultural sector.
|05B6 - No breakdown (income support)||NOK2,555,039,773||USD250,000,000||
6 July 2020, USD250 million fiscal stimulus package worth to the tourism industry.
|05C - No breakdown (health and income support)|
|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||
19 March 2020, Establishment of a swap facility of USD30 billion between Norges Bank and the US Federal Reserve (mutual currency arrangement). Amount outstanding as of 11 June 2020: 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||NOK10,654,104,243||USD1,042,459,726|
|09A - Swaps info_outline|
|09B - International loans/grants||NOK10,654,104,243||USD1,042,459,726||
(i) As of 28 May 2020, USD14.1 million committed to the United Nations (UN) COVID-19 Response and Recovery Multi-Partner Trust Fund (COVID-19 MPTF); (ii) June 29, NOK100 million to ensure that low and middle-income countries have access to COVID-19 vaccines when they are developed; (iii) 6 July 2020, NOK5.2 billion for IMF's Poverty Reduction and Growth Trust loan schemes; (iv) 21 September 2020, NOK215 million in humanitarian aid to Yemen, a large proportion of this funding is being used by the Norwegian Red Cross to establish the field hospital; (v) 20 October 2020, NOK390 million support to crisis-affected people in the Sahel region; (vi) 22 December 2020, NOK72 million in support to the IFC’s new Global Health Platform. [update]; (vii)23 December 2020, NOK33 million of debt service relief provided to Pakistan. [update]; (viii) 23 December 2020, NOK4.5 billion contribution to Access to COVID-19 Tools (ACT) Accelerator. [update]
|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 2020, The government has announced that oil production will be reduced until the end of the year.
|12 - Non-Economic Measures|
|12A - Measures affecting travel and transport (local and international)||
(i) Restrictions on stays outside resident municipality; (ii) Border control measures included substantial restrictions on incoming foreigners; (iii) 26 October 2020, new national restrictions on labour immigration; (iv) 10 November 2020, decided to continue controls at the internal borders to limit spread of COVID-19; (v) 12 December 2020, requirement for a negative Covid-19 test result prior to entry into Norway and deportations in the event of violations of quarantine regulations. [update]; (vi) 21 December 2020, ban on direct flights from United Kigdom and registration requirement for all entering the country. [update]; (vii) 29 December 2020, introduced new quarantine rules; [update] (viii) 31 December 2020, mandatory testing to all travellers to Norway. [update]
|12B - Measures affecting business and workplace||
(i) Schools and universities closed from 13 March 2020 to 13 April 2020; (ii) 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; (iii) All schools and universities have reopened by May 8; (iv) 27 October 2020, new national measures such as limit of number of guests at social gatherings in private homes and number of participants attending public events. Suggested local measures such as limiting social interaction, use of face masks in public transport and public places, and work from home arrangements.
|12C - Others|