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Norway’s $2.1 trillion sovereign wealth fund, the world’s largest, will continue to invest about half its assets in US equities despite the economic fallout from the Iran war, Norwegian Finance Minister Jens Stoltenberg said at Semafor World Economy.
“We plan to continue to be a big investor in US companies and to have roughly half of our investments there, because the American stock market is so dynamic and reflects the strength of the US economy,” he said in Washington, DC on Wednesday. “But it makes us of course concerned when we see the consequences of the war in the Middle East, with increased energy prices that can increase inflation and push down growth.”
Stoltenberg, a former secretary-general of NATO, said he believed tensions over the US-Israeli war on Iran wouldn’t prompt the US to leave the Atlantic alliance, as President Donald Trump has threatened to do on several occasions. “The NATO alliance faces some severe problems and challenges. There’s no way to hide that,” he said, adding: “We have been able to overcome disagreements before, and I really hope and believe that we can do that again.”
He nevertheless criticized Trump for failing to consult US allies prior to his decision to attack Iran. “He’s not wrong in saying that NATO has not contributed actively to that military operation,” he said. “But if you want NATO to contribute then at least you have to sit down with NATO allies as you did after 9/11,” he said, in reference to the involvement of NATO troops in Afghanistan following the 2001 attacks.
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Trump has repeatedly lambasted NATO allies for their reluctance to back the war in Iran, although some members have provided logistical support, and recently told the Telegraph that he was considering withdrawing the US from the alliance, which he called a “paper tiger.” He has since threatened to pull US troops from countries he considers less cooperative.