Norway’s sovereign wealth fund is facing calls from opposition parties to end its ban on investing in some defence companies, as defence spending in Europe rises.
The Government Pension Fund Global, managed by Norges Bank, cannot invest in companies that produce nuclear weapons, cluster munitions, or landmines, as well as those selling military equipment to certain states. This includes companies like Lockheed Martin and Boeing.
“We have restrictions today that the oil fund cannot invest in the defence industry. We’re going to take them away. It’s completely crazy,” said Erna Solberg, leader of Norway’s Conservative Party.
“We are currently facing the most serious security crisis since World War II. There is an urgent need for increased investment in the Western defense industry to safeguard our own security and that of our allies,” said deputy Conservative leader Tina Bru.
Along with the Conservative Party, the right-wing Progress Party has also sought to end restrictions on weapons investment.
Progress MP Hans Andreas Limi has introduced a bill to remove the nuclear weapons investment ban, arguing that Norway must be able to invest in companies like Northrop Grumman or Lockheed Martin that supply the country as a NATO member.
European defence stocks surged in 2025’s first quarter, due to expected major increases in defence spending among European nations and a potential agreement to send peacekeeping troops to Ukraine. Companies like General Dynamics, which the Government Pension Fund Global cannot invest in, have also seen share prices rise significantly this year.
Under its ethical guidelines, Norway’s sovereign wealth fund is also banned from investing in companies that engage in “serious or systematic violations of human rights”, major environmental damage, and tobacco or cannabis production.
The Government Pension Fund Global is the world’s largest sovereign wealth fund, valued at US$1.8 trillion. It has funded more than 8,650 companies worldwide.
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