Norway

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2013

Aid

Aid quality is just as important as aid quantity, so the CDI measures gross aid as a share of GDP adjusted for various quality factors: it subtracts debt service, penalizes “tied” aid that makes recipients spend aid only on donor goods and services, rewards aid to poor but relatively well-governed recipients, and penalizes overloading poor governments with many small projects.

Norway’s aid performance

  • Score: 10.6
  • Rank: 4

Strengths

  • High net aid volume as a share of the economy (0.99%; rank: 1)
  • No tied or partially tied aid (0%; rank: 1)
Weaknesses
  • Allows project proliferation; small average project size (rank: 20)
  • Does not report private charitable giving
 

Trade

International trade has been a force for economic development for centuries. The CDI measures trade barriers in rich countries against exports from developing countries. It also penalizes costly importation processes and restrictions against purchasing services from foreigners.

Norway’s trade performance

  • Score: 1.2
  • Rank: 26

Strengths

  • Low tariffs on textile (3.6% of the value of imports; rank: 1)
  • Low tariffs on clothing (1.8% of the value of imports; rank: 1)
  • Few documents required for importation (7 documents; rank: 6)
Weaknesses
  • High tariffs on agricultural products (86.4% of the value of imports; rank: 25)
  • High tariffs on wheat (133.3% of the value of imports; rank: 27)
  • High tariffs on beef (307.9% of the value of imports; rank: 27)
  • High tariffs on other meats (274 % of the value of imports; rank: 27)
  • High tariffs on dairy (107.8 % of the value of imports; rank: 25)
  • Many limitations on the importation of services (Services Trade Restrictions Index score: 23.3 ; rank: 21)
 

Finance

Rich-country investment in poorer countries can transfer technologies, upgrade management and create jobs. Conversely, policies that permit financial secrecy of companies and banks can facilitate illicit activities and financial flows abroad. The CDI rewards policies that support healthy investment in developing countries and promote transparency in financial transactions at home.

Norway’s finance performance

  • Score: 5.9
  • Rank: 7

Strengths

  • Political risk insurance agency provides wide coverage and screens potential projects for violations of human, labor and environmental rights
  • Active participation and leadership in extractive industries transparency initiatives such as the Extractive Industries Transparency Initiative (EITI) and the Kimberley Process on blood diamonds
  • Scores above average in the Financial Secrecy Index for regulations in place to promote transparent financial transactions within its jurisdiction (rank: 7)
  • Provides assistance to companies looking for investment opportunities in developing countries
  • Vigorous prosecution of home-country bribe payers
 

Migration

The movement of people from poor to rich countries provides unskilled immigrants with jobs, income and knowledge. This increases the flow of money sent home by migrants abroad and the transfer of skills when the migrants return.

Norway’s migration performance

  • Score: 9.6
  • Rank: 1

Strengths

  • Large number of immigrants from developing countries entering Norway (rank by share of population: 1)
  • Bears large share of the burden of refugees during humanitarian crises (rank: 2)
Weaknesses
  • Small share of foreign students from developing countries (64.8%; rank: 16)

Environment

Rich countries use a disproportionate amount of scarce resources, and poor countries are most vulnerable to global warming and ecological deterioration, so the CDI measures the impact of policies on the global climate, fisheries and biodiversity.

Norway’s environment performance

  • Score: 2.8
  • Rank: 26

Strengths

  • Excellent compliance with mandatory reporting requirements under multilateral environmental agreements relating to biodiversity (rank: 10)

Weaknesses

  • High fossil fuel production rate per capita (104.1 tons of carbon dioxide equivalent; rank: 27)
  • High fishing subsidies (rank: 27)
  • High consumption of ozone-depleting chemicals per capita (rank: 20)
 

Security

Since security is a prerequisite for development, the CDI rewards contributions to internationally sanctioned peacekeeping operations and forcible humanitarian interventions, military protection of global sea lanes, and participation in international security treaties. It also penalizes arms exports to poor and undemocratic governments.

Norway’s security performance

  • Score: 7.4
  • Rank: 1

Strengths

  • Significant personnel contributions to UN and internationally-sanctioned peacekeeping and humanitarian interventions over last decade (rank by share of GDP: 1)
  • Participates in major international security treaties and regimes
Weaknesses
  • Relatively small contribution to the UN Peacekeeping Operations budget (rank by share of GDP: 22)

Technology

Rich countries contribute to development through the creation and dissemination of new technologies. The CDI captures this by measuring government support for R&D and penalizing strong intellectual property rights regimes that limit the dissemination of new technologies to poor countries.

Norway’s technology performance

  • Score: 5.7
  • Rank: 6

Strengths

  • Significant government support for R&D (rank: 7)
  • Provides patent exceptions for research purposes
Weaknesses
  • Offers patent-like proprietary rights to developers of data compilations, including those assembled from data in the public domain
  • Allows patents on plant and animal varieties
  • Pushes to extend intellectual property rights in bilateral trade treaties (“TRIPS Plus” measures) that restrict the flow of innovations to developing countries