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Interest rate lift-off edging nearer in Norway

As expected, the Norges Bank left its policy rate on hold at a record low of zero once again this morning but remains on track to be the first advanced central bank to start to raise interest rates, later this year. Given that the Bank tends not to be timid, we expect it to tighten policy faster than it currently projects, and that it will also start to “lean against” the housing market over the coming months.

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