Norwegian mainland GDP likely to have grown about 2.5 pct in July

The Norwegian monthly GDP figures for July are set to release tomorrow. According to a Nordea Bank research report, the mainland GDP is likely to have grown at about 2.5 percent in July.

The Regional Network, which is the central bank’s business survey is also set to be released tomorrow. The release would be significant for Norgest Bank’s outlook. On the contrary to Norway PMI this is a business survey that has a considerable effect on central bank’s view.

Norges Bank projects growth at 0.7 percent in the third quarter, which is line with an indicator at 1.4. This is what the companies themselves anticipated in the forward looking indicator in the second quarter, stated Nordea Bank. The outlook for most part of the economy is comparatively solid with the exception of construction that probably is held down by the sharp fall in housing investment.

Growth in retail sector is also expected to be soft given the signs of soft retail sales in summer, added Nordea Bank.