Gjedrem says further rate cuts possible

Giving his annual "state of the economy" speech on Thursday 19 February Norges Bank Chief Svein Gjedrem said he did not exclude the possibility of even further interest cuts this year.

But, in the long-term interest rates may increase to 5.5 per cent again, he said.

Gjedrem supported the current low interest rates in Norway, saying it may take even longer than two years to meet the inflation goal.

He said that despite the fact that the Norwegian economy is on the up, we are still struggling wit