Tuesday, January 13, 2015

Siv Jensen: – The economy will not return to normal – ABC News

– We’re going to a new normal, says Finance Jensen on the Norwegian economy. She looks own Norwegian currency and interest rate policy as important instrument.

GARDERMOEN (ABC NEWS): FRP leader could almost have been replaced by his SV predecessor Kristin Halvorsen when she Tuesday urged to shift from oil economy to a green economy.

It happened at the Norwegian agricultural organizations annual conference Food and Agriculture going on today and tomorrow. There, Jensen more emphasis on the fundamentals, with falling oil prices and bleak prospects in the industry than on agriculture economy.

– There is no crisis. The situation is completely different than during the financial crisis in 2008, said Jensen, who alerted restructuring:

– We will not return to normal. We’re going to another normal!

Turn to green or not?

– Restructuring must take place in the individual company. But it is essential to create favorable conditions for innovation and the development of expertise. Economic policy must support a greener mainland economy, said Progress Finance.

Last week flinched Conservative trade minister Monica Mæland decided to do the same offshore: She said no to move state support from oil innovation to wind and Another green technology.

– Is not that contrary to what you say about the transition to green innovation, Siv Jensen?

– No. Because oil and gas industry is going to be an important part of Norwegian industry in the coming decades. We will not turn off the switch. Predictability in the framework also for the oil industry is incredibly important, says finance minister to ABC News.

– To twist support is not tantamount to turn off?

– If the goal was to shut down the part of the Norwegian business, so we also had removed all remedies. It is not the goal of this government.

Read Monica Mæland will not twist state support from oil to wind

Custom currency very useful

Jensen entered utilities Norway has to make it through this period of sharp decline in oil revenues and major economic problems in neighboring countries.

Custom exchange rate and interest rate setting is one of them finance minister emphasized.

– For competitive industry is an advantage that the krone has depreciated. Then it is easier to win contracts. The depreciation also provides better conditions for firms that face competition from abroad on the home market, she said to the assembly of directors and directors of agricultural cooperatives companies and Bondelagets people.

– Norges Bank has cut its key interest rate. And floating exchange rate helps to facilitate the restructuring that we must through, turn Jensen stuck.

At the Parliament, however, the two major parties, the Conservatives and Labour, for decades wanted into the EU and thus take over the euro as Norwegian currency.

– How important do you consider that Norway has an independent currency, and not in the government partner Right want, euro membership?

– There is no target for this government to discuss euro cooperation. It is now a time so they dampers we have in the economy must get real when restructuring occurs. Monetary policy is one of the means through Norges Bank’s determination of interest rates. The second is the exchange rate.

– Monetary policy is the first line defense. It has now entered into force. That’s good, because it gave effects. So there is no doubt that changes in the exchange rate means much to the competitiveness of Norwegian industry, says Jensen.


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