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Nordic Outlook: Focus on inflation risks as COVID-19 recedes

After falling by more than 3 per cent in 2020, global GDP will increase by 5.9 per cent this year and 4.3 per cent in 2022, says Nordic Outlook for May.

New virus outbreaks and tighter restrictions have resulted in a weak start to the year in various Nordic and Baltic economies, but their recovery will regain momentum later in 2021. Fiscal stimulus measures, high savings and pent-up demand will provide support for consumption-led growth in Norway. Total GDP will grow by 2.6 per cent this year and 3.5 per cent in 2022. Rising home prices have increased the pressure on Norges Bank, and despite below-target inflation the Norwegian central bank will raise its key rate before the end of 2021, ahead of most other advanced economies.

Read more and download the full report on sebgroup.com