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Will 'war profiteer' Norway come to Ukraine's financial rescue?

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Norway has grown vastly richer after overtaking Russia as Europe's main gas supplier following the invasion of Ukraine, sparking calls in Oslo for the Scandinavian nation to use its colossal sovereign wealth fund to help Kyiv. 

 

"It is absolutely essential for Europe's security that Russia does not win its illegal war of aggression," the head of Norway's small opposition Liberal Party, Guri Melby, told AFP.

"Norway has the financial means to guarantee a loan that would enable Ukraine to better defend itself against Russia, and I think we should do it," she said.

Arguing that Norway, Western Europe's biggest oil and gas producer, made an extra 109 billion euros from soaring gas prices after Russia's invasion, two Norwegian economists have suggested their country should step up even though it is not an EU member.

 

Thanks to its AAA credit rating -- the highest awarded by rating agencies -- and its sovereign wealth fund, the world's biggest, valued at around $2.1 trillion, Norway "could singlehandedly take on the contingent liability associated with fresh Ukrainian debt, and without a dent to its credit rating", they said.

 

Will 'war profiteer' Norway come to Ukraine's financial rescue?

 

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