Norwegian wealth fund considering infra

Norway is considering letting its sovereign wealth fund invest in infrastructure.

The finance ministry has said the government will ask the $870bn fund to assess whether it should invest in unlisted infrastructure. It will also look into the possibility of adjusting a 5% cap on real estate investments.

Finance Minister Siv Jensen said: "Developing the fund’s investment strategy through better diversification will help to ensure continued robust, long-term management of the fund."

According to the ministry, it will take advice from both Norges Bank and the Strategy Council. The composition and mandate of the Strategy Council will be announced at a later date, with the final evaluation due to be presented in a parliamentary white paper on the fund in the spring of 2016.

Infrastructure and PPP prospects have somewhat resurfaced over the last year in the country, as Erna Solberg became prime minister in 2013. Running on a pro-infrastructure and PPP platform, positive noises for the sector have begun to emerge as well as number of new road PPPs being announced in the recent budget.

To read further on Norway’s infrastructure and PPP needs, click here to read this month’s featureStill on Hold