Norway unexpectedly withdrew $ 400 million from its sovereign state fund in August. That had not happened since 2016, when oil prices fell sharply. The price fall of oil was again the reason for the Norwegians to tap the piggy bank.
Oil prices were at their lowest point in seven months in early August. By withdrawing millions from the fund, revenues and expenditures for the oil sector were brought into balance. The fact that the Norwegians hold their hand at the world’s largest equity fund remains a rare phenomenon.
According to its own rules, Norway may take up to 3 percent of its assets from the fund to compensate for deficits. The money box is filled with more than 1 trillion dollars. In May, Norway expressed the expectation to add $ 3.7 billion to the fund this year. The question now is whether this will be met.