Norwegian deputy issues warning on high private debt
Official advocates gradual reduction of household debt to income, as a sudden shock is a risk
The ever-increasing level of household debt in Norway is a challenge to financial stability and demands authorities aim for a gradual reduction, said Jon Nicolaisen, Norges Bank deputy governor, on April 9.
Household debt represents 225% of disposable income in Norway and for people under 40 the figure is as high as 300%. “The higher the level of initial debt, the greater the risk to the Norwegian economy. A sudden debt correction would then be more likely, potentially resulting in a sharp
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