Norges Bank

Press release

Norges Bank raises the deposit rate and overnight lending rate

Norges Bank, the Central Bank of Norway, has decided to increase the interest rate on banks' deposits with Norges Bank, the deposit rate, by 0.50 percentage point with effect from Thursday, 15 June 2000. The interest rate on central bank overnight loans to banks will also be increased by 0.50 percentage point. The deposit rate will be 6.25 per cent and the overnight lending rate will be 8.25 per cent starting from 15 June.

Central Bank Governor Svein Gjedrem says that in the light of recent trends in the economy and the current balance of risks, the probability that the next change in interest rates will be an increase is greater than the probability of a reduction.

A more detailed assessment will be provided at today's press conference at 4 pm. The Governor's introductory statement will be published simultaneously on the Norges Bank website.

Contact:

Press telephone: +47 21 49 09 30
Email: presse@norges-bank.no

Published 14 June 2000 14:00