National accounts, December 2006

The GDP for mainland Norway rose at a steady pace in the four quarters of 2006. From the third to the fourth quarter of 2006, the GDP for mainland Norway grew by 1.2 per cent. The financial services and manufacturing industries was the driving force behind this development.

Total GDP for Norway increased by 2.9 per cent in 2006. Compared with 2005, both oil and gas extraction and ocean transport had a lower production in 2006. In the case of oil and gas extraction, this decrease was caused by some oil platforms that were partly out of operation in 2006.

Increased number of employees

The number of employees rose by 3.1 per cent in 2006, which was an increase by more than 72 000 workers. The growth was especially strong in construction and in business services, both with a growth of almost 8 per cent. The manufacturing industries and the general government had also a strong increase in number of employees.

Hours worked in mainland Norway went up 2.1 per cent in 2006.

Consumption up

Household final consumption expenditure grew by 4.2 per cent in 2006. The consumption of goods was 4 per cent higher than in 2005, and the consumption of services rose by 3.5 per cent. In 2006, the direct purchases abroad by Norwegian households jumped by 11.5 per cent, which was about the same growth as the two preceding years. Seasonally adjusted figures show that the household consumption rose by 0.8 per cent from the third to the fourth quarter last year.

The consumption bundles that had the strongest increase were clothes, furniture, white goods, hotel and restaurant services and financial services.

Government consumption expenditure was 2.2 per cent higher in 2006 than in 2005. The expenditures in the central government grew just slightly, after a drop in defence expenditures. The spending in local governments, on the other hand, rose by 3.7 per cent. This was the result of higher spending on health and social services.

Large investments in the oil sector in 2006

Gross fixed capital formation rose by almost 9 per cent in 2006, and this is the third successive year with strong growth in investments. Gross fixed capital formation in oil and gas extraction accounts for about one quarter of total gross fixed capital formation in Norway. These investments rose by almost 10 per cent in 2006. Gross fixed capital formation in manufacturing industries had a strong growth in 2006.

Investments in dwellings rose by 6.4 per cent in 2006. This is a slowdown compared to the growth the preceding years. The investments are still on a high level.

Imports increases more than exports

Imports rose by 6.4 per cent in 2006, while exports rose by 1,5 per cent. A drop in export of oil caused the relatively slow growth in exports. The export of traditional goods was up 6.5 per cent and the export of services rose by 7.6 per cent.

In 2006, imports of traditional goods increased by more than 10 per cent. It was especially a strong growth in imports of manufactured goods, office equipment and computers. The import of services rose by 7.1 per cent.