The essential economic performance of a country is reflected by the gross domestic product, the total of all goods and services sold. Worldwide gross domestic product in 2022 was at about 12,607 USD per capita. GDP in Norway, on the other hand, reached USD 106,149 per capita, or 579.27 billion USD for the whole country. Norway is therefore currently ranked 25 of the major economies. Taking purchasing power parity into account, this puts Norway very high up in the list of the world's richest countries, in 4th place.
Inflation in Norway in 2022 was around 5.76%. Within the EU, the average in the same year was 8.83 percent. In the United States, it was most recently 8.00%.
The index for perceived corruption in the public sector is 84, which is above average by global standards.
Impact of the COVID-19 pandemic
The consequences of the COVID pandemic in 2020 were considerable in Norway. Overall, gross domestic product in 2020 fell from 408.74 billion US dollars to 367.63 billion US dollars. With a large drop of 10.06 percent, the economy in Norway has struggled significantly more than other countries. The tourism sector alone slumped by around 69 percent. The unemployment rate rose from 3.7 to 4.4 percent. The country's gross debt increased by 0.2 percent. The inflation rate fell from 2.2 percent previously to 1.3 percent by the end of 2020.
In 2021, there was already a recovery and the gross domestic product increased to 490.29 billion US dollars (=120.0% of 2019).
Income and purchasing power
The average monthly income in Norway is 7,959 US Dollar per capita. In the USA, the figure is 6,364 US Dollar. However, the prices of daily necessities are also around 8.1 percent higher compared to the USA. If you compare incomes and price levels, life in Norway is cheaper than in the USA. In the end, the higher incomes cancel out the price disadvantage and one receives about 15.7 percent more for the typical income in the country.
However, it is also important to remember that this is a purely statistical model. Both the labor output and the type and quality of the goods received always correspond to the national average on both sides of the equation - so they do not necessarily have to match. Here you can also find an international comparison of cost of living and purchasing power.
The income tax payable in Norway on all income is very high compared to other OECD countries. A married couple with 2 children and normal average income pays on average 17.8% income tax. The total tax burden including social security contributions but excluding employer contributions is 23.6%. The top tax rate is 38.4 percent. Please also read our country comparison of income tax.
Unemployment rates in percentages 1991 - 2022
Economic performance 2022
| Indicator | Norway Total | Norway per capita | EU Total | EU per capita |
|---|---|---|---|---|
| GDP | 579.27 bn USD | 106,148.78 USD | 16.641 tn USD | 32,317.93 USD |
| Gross national product | 521.23 bn USD | 95,513.95 USD | 17.773 tn USD | 34,515.94 USD |
In the Global Innovation Index, Norway ranked 22nd in 2022 with 48.8 points. The index is calculated annually by the World Intellectual Property Organization (WIPO) and most recently included 132 countries. The top country was Switzerland with 64.6 points. Out of the 2,000 largest listed companies in the world, 8 originate from Norway. This is determined annually in the Forbes Global 2000 list. The 8 largest companies in the country in 2022 were:
Rank 70: Equinor (Stavanger)
Rank 428: DNB Bank (Oslo)
Rank 748: Norsk Hydro (Oslo)
Rank 1064: Telenor (Fornebu)
Rank 1161: Storebrand (Lysaker)
Rank 1280: Yara International (Oslo)
Rank 1731: Var Energi ASA (Sandnes)
Rank 1790: Gjensidige Forsikring (Oslo)
Development of gross domestic product in billions of USD 1960 - 2022
Largest industries
- Petroleum and gas
- Shipping
- Fishing
- Aquaculture
- Food processing
- Shipbuilding
- Pulp and paper products
- Metals
- Chemicals
- Timber
- Mining
- Textiles
Household debt and deficits 2022
| Indicator | Norway Total | Norway per capita | EU Total | EU per capita |
|---|---|---|---|---|
| Government debts | 229.41 bn USD | 42,038.39 USD | 6.591 tn USD | 12,798.96 USD |
| Budget deficit | -22.26 bn USD | -4,079.38 USD | 560.78 bn USD | 1,089.05 USD |
Please note: A negative budget deficit equivalents to a surplus | ||||
› Debt budget development
› Development of inflation
› Corruption in Norway
› Cost of living in a global comparison
Imports and Exports 2022
| Indicator | Norway Total | Norway per capita | EU Total | EU per capita |
|---|---|---|---|---|
| Imports | 156.92 bn USD | 28,755.73 USD | 9.107 tn USD | 17,686.13 USD |
| Exports | 321.08 bn USD | 58,836.10 USD | 9.404 tn USD | 18,262.76 USD |
Development of imports and exports in billions of USD 1975 - 2022
Exports
Imports
Largest airports and airlines in NorwayThe 30 biggest airports in Norway and 5 airlines with further information and data
Comparison of income tax by countryThis is how much income tax and social security contributions you pay in these 39 countries
List of the 13 current Pariah States13 countries, that suffer from the sanctions of the international community because of their mostly autocratic government.
As a seasoned economist and data enthusiast, I bring a wealth of knowledge and expertise to shed light on the economic performance of countries. With a keen eye for details and a knack for analyzing complex data, let's delve into the concepts presented in the article:
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Gross Domestic Product (GDP):
- GDP is a key indicator reflecting the economic performance of a country, representing the total value of all goods and services produced within its borders.
- The worldwide GDP per capita in 2022 was approximately $12,607 USD, while Norway's GDP per capita reached an impressive $106,149 USD, placing it 25th among major economies.
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Purchasing Power Parity (PPP):
- Norway's high ranking in terms of GDP per capita is further emphasized when considering purchasing power parity, where it secures the 4th position among the world's richest countries.
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Inflation:
- In 2022, Norway experienced an inflation rate of 5.76%, which was lower than the EU average of 8.83% and the United States' rate of 8.00%.
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Corruption Index:
- The corruption index for Norway's public sector is 84, indicating a level above the global average, showcasing the country's commitment to transparency and low corruption levels.
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COVID-19 Pandemic Impact:
- The consequences of the COVID-19 pandemic in 2020 resulted in a significant drop in Norway's GDP by 10.06%, with the tourism sector experiencing a staggering 69% decline. However, by 2021, there was a recovery, and GDP increased to $490.29 billion USD.
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Income and Purchasing Power:
- Norway boasts an average monthly income of $7,959 USD per capita, higher than the USA's $6,364 USD. When factoring in higher prices, life in Norway is still considered more affordable due to the higher incomes.
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Income Tax:
- Norway has a high income tax rate, with a married couple with two children and average income paying an average income tax of 17.8%, contributing to a total tax burden of 23.6%.
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Global Innovation Index:
- Norway ranked 22nd in the Global Innovation Index of 2022, with a score of 48.8 points, showcasing its commitment to innovation and technological advancement.
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Largest Industries:
- Norway's economy is driven by industries such as petroleum and gas, shipping, fishing, aquaculture, food processing, and others, contributing significantly to its GDP.
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Government Debt and Deficits:
- Norway's government debt is $229.41 billion USD, with a budget deficit of -$22.26 billion USD, implying a surplus.
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Imports and Exports:
- Norway's imports in 2022 were $156.92 billion USD, and exports were $321.08 billion USD, underlining its strong position in international trade.
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Largest Airports and Airlines:
- The article mentions the 30 biggest airports and 5 airlines in Norway, highlighting the country's infrastructure and connectivity.
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Comparison of Income Tax by Country:
- A broader perspective on income tax across 39 countries is provided, showcasing Norway's relatively high income tax rates.
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Pariah States:
- The article concludes with a list of 13 countries facing international sanctions due to their autocratic governments, providing context on the geopolitical landscape.
This comprehensive overview demonstrates the intricate interplay of economic indicators and contextual factors shaping Norway's economic landscape.
