Norges Bank raises interest rates

In a widely expected move, Norway's central bank raised interest rates by 25 basis points on 17 August. The rise was the third this year and follows the central bank's stated recent pattern of "small and not too frequent steps".

Justifying its decision to tighten, the central bank pointed to high household and corporate borrowing. Property prices are rising markedly and corporate earnings were very high, also.

The central bank said that financial market participants continue to expect a gradual