direct: Norway plans to withdraw a record wealth fund from the sovereign, to save its economy following the blow of the Coruna virus and the collapse of the oil market.
Norway announced today, Tuesday, that it intends to withdraw a record value of 382 billion crowns (37 billion dollars) from its wealth fund, forcing the largest sovereign investor in the world to begin selling assets to obtain the required liquidity.
The unprecedented withdrawal revealed in Norway’s revised budget for 2020 is more than four times the previous record set in 2016.
This situation reveals the development of the economic damage caused by the bilateral crisis represented by the “Covid-19” epidemic and the collapse of world oil markets, as the largest exporter of crude in Western Europe is now facing its worst economic recession since the Second World War.
It was the Norwegian sovereign fund It recorded sharp losses in the first quarter of this year, due to the decline in the financial markets.