Our mission and core responsibilities
Norges Bank’s mission is to promote economic stability and manage substantial assets on behalf of the Norwegian people.
The new Central Bank Act entered into force on 1 January 2020. An updated description of our core responsibilities is in preparation.
Norges Bank has executive and advisory responsibilities in the area of monetary policy and is responsible for promoting robust and efficient payment systems and financial markets.
Norges Bank is responsible for the management of Norway's foreign exchange reserves and the management of the Government Pension Fund Global (GPFG) on behalf of the government. The investment strategy of the GPFG is designed to obtain the highest possible return within the framework of the investment mandate.
Norges Bank is a separate legal entity owned by the state.
Norges Bank’s activities are regulated by the Central Bank Act (official Norwegian version at Lovdata). The Act states that the purpose of the central banking activities is to maintain monetary stability and to promote the stability of the financial system and an efficient and secure payment system. The central bank shall contribute to high and stable output and employment.
The Government has defined an inflation target for monetary policy in a regulation pursuant to the Norges Bank Act.
Norges Bank’s responsibilities in managing the Government Pension Fund Global (GPFG) are regulated by means of regulations issued pursuant to the Act relating to the Government Pension Fund Global and a separate management agreement with the Ministry of Finance. See the Management mandate for the Government Pension Fund Global (NBIM).
Organisation of the bank’s operations is based on clearly defined core activities:
Monetary policy shall maintain monetary stability by keeping inflation low and stable. More on monetary policy.
The purpose of Norges Bank's liquidity management is to ensure that the Executive Board's interest rate decisions have a broad impact on short-term money market rates. This is achieved by steering the level of bank reserves, i.e. bank deposits at the central bank. More on Liquidity and markets.
Norges Bank shall promote financial stability and contribute to robust and efficient financial infrastructures and payment systems. More on Financial stability.
Norges Bank’s settlement system settles interbank payments in banks' accounts at Norges Bank, and supplies society with banknotes and coins in a manner that promotes payment system efficiency. Norges Bank also oversees Norwegian payment systems.
Norges Bank manages the Norwegian Government Pension Fund Global on behalf of the Ministry of Finance. More information available at the website of Norges Bank Investment Management.
The foreign exchange reserves are the Bank's contingency funds in international currencies and are to be available for use in foreign exchange market transactions. More about the Foreign exchange reserves.
Norges Bank manages government debt in accordance with a mandate laid down by the Ministry of Finance. Under the mandate, the Bank shall meet the government's borrowing requirements and manage government debt outstanding. More about Government debt management.
Norges Bank's strategy for the period 2020 to 2022 marks the beginning of a new chapter in Norges Bank's over 200-year long history. The new central bank act effective from 1 January 2020 sets the framework for the bank's tasks and activities ahead. The main features of Norges Bank’s activities are retained in the new act. While our mission remains the same, the Bank’s independence has been more clearly defined.