Wayzata World Factbook 1995/World Factbook - 1995 Edition - Wayzata Technology (1995).iso/mac/text/Build/orig BACKGR/BNOT0081.TXT

Text File | 1994-11-21 | 18KB | 386 lines

National Trade Data Bank
ITEM ID     : ST BNOTES NORWAY
DATE        : Oct 28, 1994

AGENCY      : U.S. DEPARTMENT OF STATE
PROGRAM     : BACKGROUND NOTES
TITLE       : Background Notes - NORWAY

Source key      : ST
Program key     : ST BNOTES
Update sched.   : Occasionally
Data type       : TEXT
End year        : 1992
Date of record  : 19941018
Keywords 3      :
Keywords 3      : | NORWAY

BACKGROUND NOTES:  NORWAY
PUBLISHED BY THE BUREAU OF PUBLIC AFFAIRS
US DEPARTMENT OF STATE

AUGUST 1992
Official Name:  Kingdom of Norway

PROFILE

Geography
Area (including the island territories of Svalbard and Jan Mayen):
386,000 sq. km. (150,000 sq. mi.); slightly larger than New Mexico.
Cities:  Capital--Oslo (pop. 467,000).  Other cities--Bergen
(216,000), Trondheim (139,600), Stavanger (99,800).  Terrain:
Rugged with high plateaus, steep fjords, mountains, and fertile
valleys.  Climate:  Temperate along the coast, colder inland.

People
Nationality:  Noun and adjective--Norwegian(s).   Population (1991
est.):  4.3 million.  Annual growth rate (1991):  0.5%.  Density:
14 per sq. km.  Ethnic groups: Norwegian (Nordic, Alpine, Baltic),
Lapp (or Sami, a racial-cultural minority of 20,000); foreign
nationals (148,000 from Denmark, UK, Sweden, US, Pakistan, Vietnam,
Germany, Turkey).  Religion:  Evangelical Lutheran 94%.  Languages:
Norwegian (official), Lapp.  Education:  Years compulsory--9.
Literacy--100%.  Health: Infant mortality rate--7/1,000.  Life
expectancy--men 73 yrs; women 80 yrs.  Work force (1991, 2.1
million):  Government, social, personal services--37%.  Wholesale
and retail trade, hotels, restaurants--18%.  Manufacturing--15%.
Transport and communications--8%.   Financing, insurance, real
estate, business services--8%.  Agriculture, forestry, fishing--8%.
Construction--6%.  Oil extraction--1%.

Government
Type:  Hereditary constitutional monarchy.  Independence:  1905.
Constitution:  May 17, 1814.

Branches:  Executive--king (chief of state), prime minister (head
of government), council of ministers (cabinet).
Legislative--modified unicameral parliament (Storting).
Judicial--Supreme Court, appellate courts, city and county courts.

Political parties:  Labor, Conservative, Center, Christian
People's, Socialist Left, Progress.  Suffrage:  Universal over 18.

Administrative subdivisions:  18 fylker (counties), the city of
Oslo, and Svalbard.

National holiday:  May 17.

Central government budget (1991): $52 billion.

Defense (1991):  3.2% of GNP.

Flag:  White cross with blue inner cross on red field.  The white
cross and red field are derived from the Danish flag; the blue
cross was added to symbolize Norway's independence.

Economy
GNP (1991):  $103 billion.  Annual growth rate (1991):  1.9%.  Per
capita GNP (1991): $24,200.

Natural resources:  Oil, gas, fish, timber, hydroelectric power,
mineral ores.

Agriculture and fishing (3% of GNP): Products--dairy, livestock,
grain (barley, oats, wheat), potatoes and other vegetables, fruits
and berries, furs, wool.  Arable land--3%.

Oil, gas, shipping:  19% of GNP.

Industry (manufacturing, 13% of GNP):  Types--food processing, pulp
and paper, ships, aluminum, ferroalloys, iron and steel, nickel,
zinc, nitrogen, fertilizers, transport equipment, hydroelectric
power, refinery products, petrochemicals, electronics.

Construction:  4% of GNP.

Trade (1991):  Exports (f.o.b.)--$36 billion:  crude oil, natural
gas, pulp and paper, metals, chemicals, fish and fish products.
Major markets--UK, Germany, Sweden, US (5%).   Imports
(c.i.f.)--$26 billion:  machinery and transport equipment,
foodstuffs, iron and steel, textiles and clothing.   Major
suppliers--Sweden, Germany, UK, US (8%).

Official exchange rate (average 1991): 6.5 Norwegian kroner=US$1.

Aid sent (1991):  $1.1 billion.  Primary recipients--Tanzania,
Mozambique, Bangladesh, Nicaragua, Zambia, UN organizations.

PEOPLE
Ethnically, Norwegians are predominantly Germanic, although in the
far north there are communities of Sami (Lapps) who came to the
area more than 10,000 years ago, probably from central Asia.  In
recent years, Norway has become home to increasing numbers of
immigrants, foreign workers, and asylum-seekers from various parts
of the world.  Immigrants now total nearly 150,000; some 5,000
obtained Norwegian citizenship in 1991.

Although the Evangelical Lutheran Church is the state church,
Norway has complete religious freedom.  Education is free through
the university level and is compulsory from ages 7 to 16.  At least
12 months of military service and training are required of every
eligible male.  Norway's health system includes free hospital care,
physician's compensation, cash benefits during illness and
pregnancy, and other medical and dental plans.  There is a public
pension system.

Norway is in the top rank of nations in the number of books printed
per capita, even though Norwegian is one of the world's smallest
language groups.  Norway's most famous writer is the dramatist
Henrik Ibsen.  Artists Edvard Munch and Christian Krogh were
contemporaries of Ibsen.  Munch drew part of his inspiration from
Europe and in turn exercised a strong influence on later European
expressionists.  Sculptor Gustav Vigeland has a permanent
exhibition in the Vigeland Sculpture Park in Oslo.  Musical
development since Grieg has followed either native folk themes or,
more recently, international trends.

HISTORY
The Viking period (9th to 11th centuries) was one of national
unification and expansion.  The Norwegian royal line died out in
1387, and the country entered a period of union with Denmark.  By
1586, Norway had become part of the Danish Kingdom.  In 1814, as a
result of the Napoleonic wars, Norway was separated from Denmark
and combined with Sweden.  The union persisted until 1905, when
Sweden recognized Norwegian independence.

The Norwegian Government offered the throne of Norway to Danish
Prince Carl in 1905.  After a plebiscite approving the
establishment of a monarchy, the parliament unanimously elected him
king.  He took the name of Haakon VII, after the kings of
independent Norway.  Haakon died in 1957 and was succeeded by his
son, Olav V, who died in January 1991.  Upon Olav's death, his son
Harald was crowned as King Harald V.  Norway was a non-belligerent
during World War I, but as a result of the German invasion and
occupation during World War II, Norwegians generally became
skeptical of the concept of neutrality and turned instead to
collective security.  Norway was one of the signers of the North
Atlantic Treaty in 1949 and was a founding member of the United
Nations.  The first UN General Secretary, Trygve Lie, was a
Norwegian.

GOVERNMENT
The functions of the king are mainly ceremonial, but he has
influence as the symbol of national unity.  Although the 1814
constitution grants important executive powers to the king, these
are almost always exercised by the Council of Ministers in the name
of the king (King's Council).  The Council of Ministers consists of
the prime minister--chosen by the political parties represented in
the Storting (parliament)--and other ministers.

The 165 members of the Storting are elected from 18 fylker
(counties) for 4-year terms according to a complicated system of
proportional representation.  After elections, the Storting divides
into two chambers, the Odelsting and the Lagting, which meet
separately or jointly depending on the legislative issue under
consideration.

The special High Court of the Realm hears impeachment cases; the
regular courts include the Supreme Court (17 permanent judges and
a president), courts of appeal, city and county courts, the labor
court, and conciliation councils.  Judges attached to regular
courts are appointed by the king in council after nomination by the
Ministry of Justice.

Each fylke is headed by a governor appointed by the king in
council, with one governor exercising authority in both Oslo and
the adjacent county of Akershus.

Principal Government Officials
King--Harald V
Prime Minister--Gro Harlem Brundtland
Minister of Foreign Affairs--Thorvald Stoltenberg
Ambassador to the United States--Kjeld Vibe
Ambassador to NATO--Bjorn Kristvik
Ambassador to the United Nations--Martin Huslid


Norway maintains an embassy in the United States at 2720 34th
Street, NW, Washington, DC 20008, tel.[phone] and consulates
in Houston, Los Angeles, Minneapolis, New York, and San Francisco.

POLITICAL CONDITIONS
Until the 1981 election, Norway had been governed by Labor Party
governments since 1935, except for three periods (1963, 1965-71,
and 1972-73).  The Labor Party lost its majority in the Storting in
the 1961 elections; thereafter, when in power, its rule has
depended largely upon support of other parties, according to the
issue under consideration.

Labor dropped to 66 seats in the 1981 election, and the
Conservative Party formed a minority government with the
parliamentary backing of the two other nonsocialist parties, the
Center Party, and the Christian People's Party.  In June 1988, the
Conservative government was reorganized into a majority coalition
government with those two parties.  The three-party coalition
government suffered a setback in the 1985 election and lost a vote
of confidence in April 1986 when the Progress Party withdrew its
support over a proposed gasoline tax increase.  Since under the
Norwegian constitution the parliament cannot be dissolved, the
Labor Party had to form a minority government in May 1986 with the
same parliamentary composition as existed before the no-confidence
vote.  The Labor Party governed for over 3 years with the support
of the Socialist Left Party and individual members of the other
parties on a case-by-case basis.  After suffering losses in the
September 1989 elections, the Labor Party left the government in
October 1989 and was replaced by a minority nonsocialist coalition
led by the Conservative Party of Jan P. Syse.  One year later, the
Syse Government fell over the issue of Norwegian policy toward the
European Community and was replaced in November 1990 by a minority
Labor Party government.  Gro Harlem Brundtland is again Prime
Minister after forming her third government in 10 years.  Norway
holds national elections in September 1993.

ECONOMY
Norway is one of the world's richest countries.  It has an
important stake in promoting a liberal environment for foreign
trade.  Its large shipping fleet is one of the most modern among
maritime nations.  Metals, pulp and paper products, chemicals,
shipbuilding, and fishing are the most significant traditional
industries.

Norway's emergence as a major oil and gas producer in the mid-1970s
transformed the economy.  Large sums of investment capital poured
into the offshore oil sector, leading to greater increases in
Norwegian production costs and wages than in the rest of Western
Europe up to the time of the global recovery of the mid-1980s.  The
influx of oil revenue also permitted Norway to expand an already
extensive social welfare system.

High oil prices in the 1983-85 period led to significant increases
in consumer spending, wages, and inflation.  The subsequent decline
in oil prices since 1985 has sharply reduced tax revenues and
required a tightening of both the government budget and private
sector demand.  As a result, the non-oil economy showed almost no
growth during 1986-88, and the current account went into deficit.
As oil prices recovered sharply in 1990 following the Persian Gulf
crisis, the 1990 current account posted a large surplus which
continued into 1991.  Unemployment as of the first quarter of 1991
rose to a post-1945 high of 6.2%.  Given the volatility of the oil
and gas market, Norway is seeking to restructure its non-oil
economy to reduce subsidies and stimulate efficient, nontraditional
industry.

Norway's exports have continued to grow every year, largely because
of favorable world demand.  Moreover, the flight of Norwegian-owned
ships from the country's traditional register ended in 1987, as the
government established an international register, replete with tax
breaks and relief from national crewmember requirements.  At the
same time, a drop in private consumption has helped to reduce
Norway's imports.

Norway continues to adapt its economic policy to international
developments, notably the emerging European Community (EC) single
market.  Norway and the other European Free Trade Association
(EFTA) members are in the process of concluding an economic
cooperation agreement with the EC under the framework of the
European Economic Area (EEA).  This agreement, which promotes free
trade, is being designed to limit the distortive impact of the EC
single market on commodity trade and the movements of labor and
capital.  On EC membership, Prime Minister Gro Harlem Brundtland
has indicated that Norway may submit an application before the end
of 1992.  Its principle trading partners are the EC countries and
its Scandinavian neighbors; the United States ranks fifth.

Energy Resources
Offshore hydrocarbons were discovered in the 1960s, and development
began in the 1970s.  The growth of the petroleum sector has
contributed significantly in recent years to Norwegian economic
vitality.  Current petroleum production capacity is over 2 million
barrels per day.  Production has increased rapidly during the past
several years as new fields are opened.  Total production in 1991
was about 118 million metric tons of oil equivalents, nearly 80% of
which was crude oil.  Hydropower provides nearly all of Norway's
electricity, and all of the gas and most of the oil produced were
exported.  Production is expected to increase significantly in the
1990s as new fields come onstream.

Although not a major energy supplier to the world, Norway provides
about 40% of Western Europe's crude oil requirements and 16% of gas
requirements.  In 1991, Norwegian oil and gas exports accounted for
44% of total merchandise exports.  In addition, offshore
exploration and production have stimulated onshore economic
activities.  Foreign companies, including many American ones,
participate actively in the petroleum sector.

FOREIGN RELATIONS
Norway supports international cooperation and the peaceful
settlement of disputes, recognizing the need for maintaining a
strong national defense through collective security.  Accordingly,
the cornerstones of Norwegian policy are active membership in NATO
and support for the United Nations and its specialized agencies.
Norway also pursues a policy of economic, social, and cultural
cooperation with other Nordic countries (Denmark, Sweden, Finland,
and Iceland) through the Nordic Council.

In addition to strengthening traditional ties with developed
countries, Norway seeks to build friendly relations with developing
countries and has undertaken humanitarian and development aid
efforts with selected African and Asian nations.  Norway is also
dedicated to encouraging democracy, assisting refugees, and
protecting human rights throughout the world.

DEFENSE
Norway has a draft system in which all able-bodied males are
subject to military service.  The Royal Norwegian Navy and Air
Force are technically sophisticated organizations and manned by a
core of professionals.  The Norwegian Army is a mobile infantry
force.

US-NORWEGIAN RELATIONS
The United States and Norway enjoy a long tradition of friendly
association.  The relationship is strengthened by the millions of
Norwegian-Americans in the United States and by about 10,000 US
citizens who reside in Norway.  The two countries enjoy an active
cultural exchange, both officially and privately.

Principal US Officials
Ambassador--Loret Miller Ruppe
Deputy Chief of Mission--William C. McCahill, Jr.
Chief, Political Section--Elizabeth P. Spiro
Chief, Economic Section--F. Brenne Bachmann
Public Affairs Officer (USIS)--William M. Zavis
Administrative Officer--Vacant
Chief, Consular Section--Eli N.  Lauderdale, Jr.
Commercial Attache--Scott Bozek
Defense Attache--Capt. Richard P. Vidosic
Labor Attache--Elaine Papazian


The US Embassy is located at Drammensveien 18, 0244 Oslo (tel.
47-2- 44-85-50; FAX: [phone]).

Further Information
For information on economic trends, commercial development,
production, trade regulations, and tariff rates, contact the
International Trade Administration, US Department of Commerce,
Washington, DC 20230.

TRAVEL NOTES:
Customs:  A passport is required.  No visa is required if the total
stay in Norway, Sweden, Finland, or Denmark is less than 3 months.
A residence permit is required for longer stays.

Health:  Standards for public health and medical facilities are
high.  Tapwater is potable.

Telecommunications:  Service is efficient to most of Norway and the
world.  Norway is six standard time zones ahead of eastern standard
time.

Transportation:  Daily flights connect Oslo with the US and major
European cities.  Public transportation is efficient.

Published by the United States Department of State -- Bureau of
Public Affairs -- Office of  Public Communication -- Washington, DC
-- August 1992 -- Editor:  Jo Brooks

Department of State Publication 8228
Background Notes Series -- This material is in the public domain
and may  be reprinted without permission; citation of this source
is appreciated.  For sale by the Superintendent of Documents, US
Government Printing Office, Washington, DC  20402.