Today m s introduce you to the most prosperous country in the world. Here, the richest and most diverse nature, huge reserves of energy resources and their reasonable development make the inhabitants an extremely wealthy nation .
By law, any inhabitant of the country and its guest has the right of unhindered access to all natural resources without restrictions – both in the forest and at sea. You can walk and swim wherever you want. Almost 100% of the population is connected to high-speed Internet. Four out of five inhabitants of this country have their own boat, or at least a boat. Deforestation is not carried out at all , to see garbage lying somewhere on the ground, in cities, is simply unrealistic , On country roads, there are often tables with vegetables and fruits, and next to it is a price tag and a jar for money. How many took – and put as many bills.
Nobody is watching. It is simply not accepted to cheat here. B enzin is more expensive than anywhere else in the world . Prices of gasoline in this country are growing from year to year. Robbery or murder is a national event. Such serious crimes are vanishingly rare here. The country ranks first in the world for the number of electric vehicles per capita . Since 2009, this state has been the undisputed leader of India’s Human Development – an indicator calculated annually by the UN for comparison in different countries:
the standard of living (purchasing power), its duration and the level of education of the population . During the day, many houses are not even locked. Except, of course, in big cities, where there are many visitors. It has the lowest re-conviction rate (20%) among released prisoners in the world. This country ranks first on the planet in terms of the number of daily newspapers per inhabitant of the country. The country has about half a million lakes of various sizes. The sun, rain, winds and fogs often change with cosmic speeds , residents even joke: “Don’t like our weather? Then wait 15 minutes. ” People here do not collect the gifts of the forest, do not understand mushrooms and berries, do not know their trunk .
In a harvest year there are so many mushrooms that one person can collect a 100-liter bag of selected porcini mushrooms in 2-3 hours. It is almost impossible to meet beggars on the streets. The only exceptions are big cities, and almost always it is one of the immigrants. Getting a very large loan from a bank at 3-4 percent per annum is not at all difficult. In general, everything is done for the sake of man. You can plan your life 10 years in advance, including any expenses and career advancement. And the plan will come true.
This is Norway … recognized as the most prosperous country in the world according to the Legatum rating This rating has been compiled annually since 2007 by the British analytical center of the international investment group. It measures the level of prosperity of countries on the basis of income . and the welfare of the population. The rating is calculated for 149 countries, covering 96% of the world’s population and 99% of world GDP. The study’s authors believe that in recent years, global prosperity has improved, but the gap between the strongest and weakest countries is widening.
Countries were assessed in 12 categories: economy, education, entrepreneurship, governance, health, investment climate, living conditions, market access and infrastructure, environment, personal freedom, security, social capital. At the same time, 300 various factors were taken into account. Norway ranks third in economic development, fifth in healthcare and education, seventh in institutional development, and second in personal freedom. The total score allowed Norway to once again officially become the most prosperous country in the world.
Norway was not hindered by either a decline in the price of its basic wealth- oil, nor the resulting drop in the exchange rate of the krone against major world currencies. Many countries are rich, but what distinguishes Norway and a few other countries is the correct distribution of that wealth. It is very important not to forget that our wealth should be for everyone’s good.
The slight difference in wages is another reason for Norway’s top spot. The difference between the highest paid and lowest paid employees is much lower than in many other countries. Also, the country has a high employment rate for both men and women. Norway, this northern country with a harsh climate, is famous for its high standard of living, withstands the global financial crisis relatively easily, its economy is stable, as environmentally friendly as possible and shows positive dynamics. It has very clean water and unpolluted fresh air, and the safety standards of industrial plants in Norway are so high that they are considered among the best in the world. Why is Norway such a wealthy country ?
“$ 1 trillion is an important milestone,” said Yngve Slingstad, head of Norway’s sovereign wealth fund, that the size of the fund entrusted to him has reached this astronomical amount. 1 trillion – as of September 19, 2017, this was the value of all assets that belong to the fund, to which the Norwegian state annually allocates part of its revenues from the sale of oil and gas. Norwegians themselves sometimes simply call it the oil fund.
It is the largest sovereign wealth fund in the world. The next major stabilization fund, the United Arab Emirates, is about 15% less. Russia’s National Welfare Fund is about 10 times smaller than its Norwegian counterpart. Before the oil field was found in 1969, the fishing town of Stavanger was for decades the center of herring production, which suddenly disappeared with the decline in catches after 1870. Stavanger, like all of Norway, was left with a huge fleet of wooden sailing ships and an agricultural economy that soon lagged far behind its booming industrial neighbors.
However, oil changed everything. – In 1960, the standard of living in Norway was 30 or 40 percent lower than in Sweden or Denmark. Now the standard of living in Norway is significantly higher than in these two countries . Currently, 70 oil platforms are operating in the North Sea. Most of them are owned by Norwegian state oil companies or foreign concessionaires. Drilling and mining requires ancillary activities that affect virtually every industry and, like the tide, lifts the rest of the country’s economy. Norwegian oil industry makes 5 million people rich An astronomical sum of money accumulated in the USD 1 trillion is far from being just a figure in the Bank of Norway’s accounting, the structure of which is formally part of the oil fund . The main and only goal of the fund is to ensure the financial well-being of future generations through the current super profits from the sale of raw materials.
For there are no illusions about the infinity of the flow of petrodollars to Oslo. As literally in one of the first phrases on the official website , “oil will end one day, but the fund’s revenues will continue to benefit the people of Norway.” As a result, taking into account the country’s population of 5.3 million people, every Norwegian now has a share of the fund in the amount of $ 193,000.
And all this – in about 20 years of the foundation’s existence. The understanding of the infinity of the “oil paradise” came to the Norwegians in the 1990s. The first deductions from the budget were made in 1996, and since 1998 there has been a history of profitability . Since then, the fund has grown by an average of 5.9% per year, after deducting inflation and management costs – by 4%. It is noteworthy that during the last global financial crisis, which began in 2008, the fund’s assets did not significantly decrease. At the same time, most of the oil countries were then forced to use the money of “future generations” from their sovereign funds, so, for example, in Russia and Kazakhstan, the assets of the funds decreased significantly, and experts even seriously feared their complete exhaustion As a result, the Norwegian fund today manages a huge amount invested in more than 9,000 stocks, bonds and real estate properties.
Moreover, the investment portfolio of the fund is completely open, and anyone can get acquainted with it . Fund managers were not afraid to invest most of the money – about 65% – in stocks around the world . The portfolio contains all the leading firms from the new Internet economy – Google, Amazon and others. The fund does not hide that it reached its phenomenal volume thanks to the rise of stock markets in the past two decades.
The population of the country is slightly more than five million people, the population density is low, the central and northern parts of the country are practically empty, the islands are partially uninhabited. The employment of the population is very high, about three quarters of the country’s citizens have a permanent job. The high development of the economy and the excellent quality of life are evidenced by the increased life expectancy of people, averaging eighty-two years .
In an effort to maintain a high standard of living for people as much as possible, the Norwegian labor market is constantly increasing the number of jobs and additional jobs by opening small businesses. The country tirelessly cares about obtaining higher education for citizens and has the lowest unemployment rates in Europe. Norway is one of the European leaders in oil production. The total net cash flow from the oil industry for 2019 is estimated by the government at $ 226 billion 500 million . Unlike Russia, the country has low levels of corruption and a high standard of living. Norway is at the top of the list of countries with the happiest population. Some believe that oil is a curse for the country’s economy. However, Norway appears to be the exception. Here is democracy, and at the same time – Norway is one of the leaders in oil exports.
– One of the main reasons is that Norway was a developed democracy even before we started producing oil. The Norwegians built a legal state, and at that stage we were lucky with political leadership. It made sure that the decision-making process was transparent, so that it was clear who was getting licenses and how to control it. It is a predictable, good system because it reduces opportunities for corruption.
Today, given the global crisis in the oil industry, the country is intensively engaged in the development of other sectors of the economy. In addition to hydrocarbon production and energy, this is shipbuilding and metallurgy. Forestry, pulp and paper production, agriculture and fishing are also traditional spheres in Norway. In addition, the country is developing construction, science-intensive and innovative industries, astronautics, computer technology and education, which also cannot be discounted .
The average salary in Norway allows you to live quite at a decent level. In 2019, the average salary of a person working in Norway was 4,400 euros. Although the tax system in Norway is considered to be very loyal, many foreigners who come to this country for the purpose of employment are simply amazed at the amount of required tax payments. So, a migrant who has come to work in Norway must immediately prepare for the fact that about half of his earnings will be deducted from his salary to pay taxes. A high standard of living and good wages attract a huge number of labor migrants to Norway.
However, getting a job in this country is not so easy. The fact that she is not a member of the EU makes it difficult to find employment even for Europeans. The Norwegian labor market is, by and large, closed to foreigners and tightly regulated by the state. In Norway, a stable and wealthy country, the state promotes a reasonable and fair distribution of income from the sale of hydrocarbons, which is why the country’s economy looks rather optimistic against the backdrop of the global financial crisis even in the long term. By maintaining a high standard of living for its citizens and actively countering the migration pressures that have recently swept the whole of Europe, Norway is one of the leaders in energy production.
The country’s hydroelectric power plants, which take advantage of the waterfall of many local waterfalls, as well as the rational use of wind and solar energy, allow Norway to constantly increase its electricity exports to neighboring countries with good benefits. All these factors are the undoubted guarantee of success, stability and prosperity of the country’s economy .
And if you ask why Norway manages its oil wealth so effectively, the answer lies in the country’s history. Norway has a very strong tradition of equality that dates back to the Viking Age, when groups of free people united under a charismatic leader to take part in sea trade and raiding expeditions and then share the profits in an honest way.