Norway's $2.3 trillion oil fund could soon invest in Western defense companies after years of being frozen out of much of the sector by state ethics guidelines.
The sovereign wealth fund is currently worth around 21.8 trillion Norwegian kroner, or $2.3 trillion, making it the largest fund of its kind in the world. With stakes in around 1.5% of the world's publicly listed companies, the fund is one of the biggest investors in the stock market worldwide.
In November 2025, a review was ordered into the ethical guidelines governing how Norges Bank invests, following controversy over divestments from some Israeli and American firms.
On Thursday, the independent Gjedrem Committee submitted the review's findings to the Norwegian Ministry of Finance. It included a recommendation for radical change to the fund's approach to defense investments, arguing that "Norges Bank must be prepared for situations where conflicts escalate into war."
Current ethical rules prohibit the fund from making investments in companies including Airbus, BAE Systems, Boeing, BWX Technologies and Lockheed Martin, as they contribute to the manufacturing of nuclear weapons. The fund does hold some defense stocks, including a 2.3% stake in Germany's Rheinmetall, and a 1.5% stake in Italy's Leonardo.