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MANAGING NATURAL RESOURCES – LESSONS FROM NORWAY

GOVERNOR ØYSTEIN OLSEN Maputo, 27 March 2019

(2)

From natural resources to financial wealth

0%

25%

50%

75%

100%

0%

25%

50%

75%

100%

1997 2007 2017 2027

Government Pension Fund Global Continental shelf

(3)

The petroleum fund mechanism

3

Transfer

Non-oil revenues

Expenditures Statsbudsjettet Government Pension

Fund Global (GPFG)

Fiscal rule

Central government budget

Petroleum revenues

(4)

The Government Pension Fund Global – Governance model

Norwegian parliament

Ministry of Finance

Reporting of results and Delegation of

power and responsibilities

(5)

A large fund – NOK 8 256 billion 1

Cumulative. In billions of NOK

1) At 31 December 2018. 5

Sources: Ministry of Finance and Norges Bank

-2 000 0 2 000 4 000 6 000 8 000 10 000

1998 2002 2006 2010 2014 2018

Fund value

Non-oil budget deficit

Government´s net cash flow

Return

Krone exchange rate

(6)

Oil and gas revenues and government spending

Percent of mainland GDP. Projections for 2018-2050

-5 0 5 10 15 20 25

1970 1990 2010 2030 2050

Government

petroleum revenues Government spending of petroleum

revenues

Spending according to fiscal rule

(7)

MANAGING NATURAL RESOURCES – LESSONS FROM NORWAY

GOVERNOR ØYSTEIN OLSEN Maputo, 27 March 2019

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