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Norwegian watchdog proposes stricter mortgage lending rules

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Norwegian watchdog proposes stricter mortgage lending rules

Norway's financial supervisory authority has proposed stricter rules for mortgage lending in the country, Reuters reported.

The Finanstilsynet recommended to the finance ministry to lower the threshold for households, allowing them to borrow only 4.5x their gross annual income instead of 5x, according to the Sept. 10 report.

Banks would also only be allowed to bend the rules for 5% of loans, Reuters said.