The oil investment survey published by Statistics Norway last week projected oil investments at NOK 165.9bn for 2016 and NOK 153.2bn for 2017. The petroleum investment survey by Statistics Norway was slightly weaker than final projections by Norges Bank. Norges Bank projected in their Monetary Policy Report from March (MPR 1/16) an investment level of NOK 167bn in 2016 and NOK155bn in 2017.
The survey estimated investments in the manufacturing sector at NOK 22.5bn for 2016 and NOK 16.6bn for 2017. The decline in 2017 is largely due to the 35 per cent investment decline in the development sector of oil refining, chemical and pharmaceutical industries. Finalization of a few large investment projects, which have contributed to growth in 2016 are seen as the main reason behind the decline in capital spending in 2017.
“The petroleum investment survey was slightly weaker than expected, but confirms that oil investments will fall this year and the next. It provides no grounds for substantial revisions in Norges Bank's projections for petroleum investments.” said DNB in a report.
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