Future Norway Needs New Solutions and More People Working

Press release | No: 37/2024 | Date: 09/08/2024 | Ministry of Finance

The government has today presented the report on Long-term Perspectives on the Norwegian Economy 2024, which discusses the main challenges for the Norwegian economy towards 2060. In this report, the government has set a goal to increase the share of employed individuals in the age group 20-64 from 80.5 per cent in 2023 to 82 per cent in 2030, with a further increase to 83 per cent by 2035.

– The report emphasises the need to increase workforce participation to ensure that Norway remains a good place to live, also in 2060. The government will continue efforts to get more people into jobs and keep them employed. Reducing sick leave and preventing dropouts from the workforce are key objectives. The increase in the number of young disabled individuals over the last 20 years must be reversed, and better arrangements must be made to ensure that young people currently receiving benefits find employment or education, says Finance Minister Trygve Slagsvold Vedum.

The Long-term Perspectives report highlights three main challenges that Norwegian society faces, which we must collectively address in the coming years:

Labour force competition: The caregiving tasks increase, but we do not have more individuals in working age to perform them.
Need for adaptation: Increased global tensions, climate and environmental changes, and declining petroleum activity lead to changes and reinforce the need to use resources wisely and appropriately.
Distribution: Small differences and stable access to welfare services must be preserved in the face of transitions, and as many people are living longer.

– The heightened global tensions require allocating more of society’s resources to defence and national preparedness. The government has introduced a new Long-term Plan on Defence to ensure safety for the population in the years ahead. Norway’s unique model of securing revenue from our natural resources positions us well to invest more in national security while providing quality welfare services to our citizens. We must protect and maintain this model, says the Finance Minister.

– The purpose of this report is to illuminate how the Norwegian welfare model, as a collective project, can be safeguarded and further developed in the face of future challenges. Just as one aims to leave a farm in better condition than when it was acquired, we should also preserve and enhance our society for the benefit of future generations. Wise choices are essential, says the Finance Minister.

Meld. St. 31 (2023–2024) - regjeringen.no (in Norwegian)