Regulation relating to the relationship of members of Norges Bank’s Executive Board with other credit institutions and enterprises

Laid down by the Ministry of Finance on 7 August 2000 pursuant to Section 6, sixth paragraph, of Act No. 28 of 24 May 1985 relating to Norges Bank and the monetary system etc., cf. Royal Decree No. 1180 of 21 June 1985. Amended by Regulations No. 1554 of 21 December 2001 and No. 876 of 29 June 2007.

Chapter 1. Governor and deputy governor of Norges Bank

Section 1. Limitation on activities

The governor and deputy governor of Norges Bank may not engage in business activity. In special cases, the Ministry of Finance may give its consent to participation in such activity.

Nor may they be remunerated by or have remunerated engagements for or hold a position on boards of directors or supervisory bodies in financial institutions, securities firms, securities fund management companies, private pension funds or in private firms. Nevertheless, this limitation does not apply to the International Monetary Fund.

Section 2. Limitation on interests

The governor and deputy governor of Norges Bank may not as shareholders, unit holders or through an extensive ongoing customer relationship have a prominent interest in financial institutions, securities firms, securities fund management companies or firms.

Section 3. Personal trading

The governor and deputy governor of Norges Bank may not acquire Norwegian or foreign financial instruments on their own account, unless otherwise specified in the rules below.

The prohibition in the first paragraph does not preclude the governor and deputy governor of Norges Bank from acquiring financial instruments through inheritance or division of an estate.

If the Ministry of Finance has given its prior written approval in each instance, the prohibition in the first paragraph does not preclude the governor and deputy governor of Norges Bank from acquiring:

  1. units in a securities fund which on the acquisition date has a broadly composed portfolio.
  2. Norwegian securities (cf. Section 2-2, second paragraph, of the Securities Trading Act), with the exception of securities that are
a) issued by the following entities:
i) financial institutions, securities firms or securities fund management companies
ii) business contacts of Norges Bank Investment Management or Norges Bank's Market Operations Department
iii) entities that provide consulting services to entities covered by litra a and b.
b) listed on foreign exchanges or in other respects traded on a regulated market in countries where the Government Petroleum Fund also invests.

The governor and deputy governor of Norges Bank may not finance the acquisition of financial instruments by loans secured by financial instruments they own. Nor may they sell financial instruments they do not own (engage in short selling) or borrow financial instruments.

The governor and deputy governor of Norges Bank may not, in connection with personal trading, use or have the assistance of, entities that are business contacts of Norges Bank Investment Management or Norges Bank's Market Operations Department or that seek to become such business contacts.

Financial instruments acquired in accordance with this section may not be disposed of until at least twelve months have passed since the acquisition date.

The provisions of this section apply correspondingly to trading undertaken by the governor and deputy governor of Norges Bank on the account of close associates. The definition of "close associate" is the same as in Section 2-5, Nos. 1, 2 and 4 of the Securities Trading Act.

0 Amended by Regulation No. 876 of 29 June 2007 (in force from 1 November 2007).

Section 4. Special insider rules

The governor and deputy governor of Norges Bank may not purchase or dispose of fixed income or foreign exchange products when they have information regarding circumstances that may influence the price, unless this information is publicly available. This rule applies correspondingly to establishing and redeeming fixed income products such as deposits and loans. This provision applies as a supplementary rule to the provisions of the Securities Trading Act relating to insider trading.

The provisions of this section apply correspondingly to trading undertaken by the governor and deputy governor of Norges Bank on the account of close associates.

Section 5. Duty of disclosure

The governor and deputy governor of Norges Bank shall notify the Ministry of Finance in writing of whether they have equity holdings or ownership positions of any significance in financial institutions, securities firms, securities fund management companies or enterprises, and they shall at the same time disclose any significant guarantee with or loans from private financial institutions. They shall also on their own initiative inform the Ministry of Finance of significant changes in such positions.

Chapter 2. Other members of the Executive Board

Section 6. Limitation on activities

The other members of the Executive Board may not be remunerated by or have remunerated engagements for or hold a position on boards of directors or supervisory bodies in financial institutions, securities firms or securities fund management companies.

Nor may they be remunerated by or have remunerated engagements for or hold a position in entities with a prominent interest in such companies.

Section 7. Limitation on interests

The other members of the Executive Board may not as shareholders, unit holders or through an extensive ongoing customer relationship have a prominent interest in financial institutions, securities firms or securities fund management companies.

Section 8. Special insider rules

The other members of the Executive Board may not purchase or dispose of fixed income or foreign exchange products when they have information regarding circumstances that may influence the price, unless this information is publicly available. This rule applies correspondingly to establishing and redeeming fixed income products such as deposits and loans. This provision applies as a supplementary rule to the provisions of the Securities Trading Act relating to insider trading.

The provisions of this section apply correspondingly to trading undertaken by the other members of the Executive Board on the account of close associates. The definition of "close associate" is the same as in Section 2-5, Nos. 1, 2 and 4 of the Securities Trading Act.

0 Amended by Regulation No. 876 of 29 June 2007 (in force from 1 November 2007).

Section 9. Alternates

The rules in Section 6 through Section 8 apply correspondingly to alternates to the Executive Board.

0 Amended by Regulation No. 1554 of 21 December 2001.

Chapter 3. Common rules

Section 10. Rules regarding impartiality

The general rules regarding impartiality in Act of 10 February 1967 relating to procedure in cases concerning the public administration pertain to the Executive Board's administrative procedure.

Section 11. Dispensation

The Ministry of Finance may, when it finds it unobjectionable to do so, make exemptions from the rules in Sections 1 through 9.

Section 12. Entry into force and repeal of previous regulation

This regulation enters into force on 1 October 2000. On the same date, Regulation No. 3929 of 25 October 1985 relating to the relationship of members of Norges Bank's Executive Board with other credit institutions and enterprises is repealed.

Published 22 September 2014 12:15