(2019) “Hvordan skapes penger?” [How is money created?]. Blog post on bankplassen.norges-bank.no, 4 January 2019 (Norwegian only). 8 Norges Bank (2018) “Central bank digital currencies”. Norges Bank Papers 1/2018. 14  NORGES BANK  Chart 11 First policy rate hike in seven years. Percent. 2008 Q1 – 2018 Q4 6  6 Norges Bank’s policy rate  5  5  4  4  3  3  2  2  1  1  0 2008  ECONOMIC PERSPECTIVES 14 FEBRUARY 2019  0 2010  2012  2014  2016  2018  Source: Norges Bank  The risk outlook is dominated in particular by the global developments mentioned, that is Brexit and the danger of a broader trade conflict. If growth abroad proves to be lower than anticipated, there will be spillovers to the Norwegian economy. Uncertainty surrounding the effects of a higher policy rate also suggests proceeding with caution in interest rate setting. Monetary policy is the first line of defence in managing the economy. As long as inflation remains under control, monetary policy can react quickly to changes in the outlook for output and employment. If the effects are pronounced, other policy areas, including fiscal policy, will also have to contribute. In this respect, Norway is in a favourable position: the government has financial leeway in the form of savings in the oil fund. In other countries, particularly in the euro area, the picture is quite different. Public finances are weak.
ECONOMIC PERSPECTIVES Address by Governor Øystein Olsen to the Supervisory Council of Norges Bank and invited guests on Thursday 14 February 2019  Analyses and charts are based on information up to and including 12 February 2019. THURSDAY 14 FEBRUARY 2019  Economic perspectives 2019  NORGES BANK ECONOMIC PERSPECTIVES 14 FEBRUARY 2019  Good morning, Kristoffer! It is now 6:00 am on Friday, 15 February 2030. The temperature is 7 degrees and it’s raining. You have been through four sleep cycles and can get up without violating the terms and conditions of your health insurance. The health module recommends cereal with oat milk for breakfast. I have bought oat milk, which was delivered at 4:00 am. News of relevance to you: The new government quarter opens today – your space is finally ready. Your investments in Green Equities have risen by 20 percent, on news of the major trade and environmental technology agreement concluded between the United States and China. The trading platform Nett sustained a hacker attack last night. Customer data were stolen, and customers are leaving the platform. I managed to withdraw 8 000 of the 67 000 kroner you had uploaded to the platform before all accounts were frozen. The rest of your money may be lost. In yesterday’s Annual Address, the Governor of Norges Bank announced that the next generation of central bank digital currency will be managed by artificial intelligence for a trial period. Have a nice day.