Norway central bank chief says monetary policy contributing to currency's weakness

JEVNAKER: The Norwegian economy has been made more competitive by the weakening of the country's crown currency, central bank Governor Oeystein Olsen said on Monday.

Norges Bank has cut its key policy rate three times in the last year, and the value of crown has dropped by about 12 percent on a trade weighted basis.

"Monetary policy alone can't be credited with this, as the oil price has been the initial driver, but in a situation where inflation is well anchored, among other things because of moderate wage expectations, monetary policy can make a contribution," Olsen told a labour union conference.