2001 and older

For the first time, the return on the Government Petroleum Fund has been negative. The return in 2001 was -2.5 per cent. This result is due to a sharp fall in equity prices, particularly in the third quarter. The return on the equity portfolio was -14.6 per cent, while the fixed income portfolio recorded a positive return of 5.0 per cent.

The return on the Government Petroleum Fund in 2000 was weaker than in previous years. This was primarily due to a marked decline in international equity markets. At the same time, there was an unusually high yield on government bonds, and overall the return on the Petroleum Fund was positive

1999 was another good year for the management of the Government Petroleum Fund. Measured in international currency, the return was 12.4 per cent. In 1999, as in the previous two years, the return on the portfolio outperformed the benchmark portfolio defined by the Ministry of Finance as a basis for measuring the Bank's management.

This is the first annual report that Norges Bank has published about the operational management of the Government Petroleum Fund. One of the primary objectives of the report is to provide comprehensive background information, to permit an understanding and evaluation of the manner in which Norges Bank is fulfilling its management responsibilities.