Norway. Country Profile

Transcription

1 Norway Country Profile

2 Contents Country Overview 1 Clearing Systems 4 Foreign Exchange Controls 6 Taxation 7 Citi Solutions and Services 8

3 Country Overview Banking Holidays in Norway New Year s Day Maundy Thursday Good Friday Easter Monday Labour Day Ascension Day Whit Monday Christmas Day Boxing Day January 17 April 18 April 21 April 1 May 29 May 9 June 25 December 26 December Key Facts* Capital City Oslo Population 5.08 million (2013 est.) Currency Norwegian kroner Currency SWIFT Code NOK Exchange Rate (NOK per USD) 6.35 (2014) GDP per Capita $ (2014 est.) GDP Growth Rate 0.6% (2013 est.) Exports** $154.2 billion (2013 est.) Imports** $90.14 billion (2013 est.) Inflation Rate 2.1% (2013 est.) *Source: World Bank **Source: (November 2014) Norway Country Profile 1

4 Country Overview The Norwegian economy is a prosperous mixed economy, with a vibrant private sector, a large state sector, and an extensive social safety net. The government controls key areas, such as the vital petroleum sector, through extensive regulation and large-scale state majority owned enterprises. The country is richly endowed with natural resources as petroleum, hydropower, fish, forests, and minerals and is highly dependent on the petroleum sector, which accounts for the largest portion of export revenue and about 20% of government revenue. Norway is the world's third-largest natural gas exporter; and seventh largest oil exporter, making one of its largest offshore oil finds in Norway opted to stay out of the EU during a referendum in November As a member of the European Economic Area, it contributes sizably to the EU budget. In anticipation of eventual declines in oil and gas production, Norway saves state revenue from the petroleum sector in the world's second largest sovereign wealth fund, valued at over $700 billion in January 2013 and uses the fund s return to help finance public expenses. After solid GDP growth in , the economy slowed in 2008, and contracted in 2009, before returning to positive growth in , however, the government budget is set to remain in surplus. Banking System Banks in Norway Compared with other European countries, the banking sector in Norway is small relative to total GDP. The total assets of the Norwegian banking sector are approximately two times GDP. By comparison, the Swedish banking sector is four times GDP. The size of the banking sector appears to be an indicator of systemic risk, at least when the sector becomes very large. Some small countries with banking sectors that are very large in relation to the size of the overall economy, e.g. Iceland and Ireland, were hard hit during the financial crisis. While other countries have built up a large financial sector that also operates globally, the Norwegian banking sector primarily lends to domestic customers. Even though there are a large number of banks in Norway, the market is characterised by a relatively high level of concentration. DNB Bank has a lending market share of over 30%. Several of the large Scandinavian financial groups are active in the Norwegian market. Nordea s Norwegian subsidiary bank is Norway s next largest bank, with a market share of approximately 13%. Loans from branches of foreign banks, primarily Handelsbanken and Danske Bank, account for around 11% of total lending. In the corporate market, subsidiaries and branches of foreign banks have a market share of approximately one third. There are currently 108 savings banks in Norway and they cooperate extensively. Most of these have very small market shares and local operations. The Spare Bank 1 Alliance and Eika Gruppen (formerly Terra Gruppen) are the two savings bank alliances in Norway. While the Spare Bank 1 Alliance comprises 17 banks, most of which are large regional institutions, Eika Gruppen comprises 76 smaller banks. Supervision of Norwegian Banks Norges Bank is responsible under the Payment Systems Act for authorising and supervising interbank systems. DNB ASA and the Operations Office of the Norwegian Interbank Clearing System (NICS) are licensed by Norges Bank to operate interbank systems. This means that the systems are subject to the provisions of the Payment Systems Act and that Norges Bank can impose requirements on system operators. Norges Bank fulfils its supervisory responsibility by setting requirements for interbank systems and supervising the systems to ensure that they comply with the requirements and with the Payment Systems Act. 2 Norway Country Profile

5 Finanstilsynet Finanstilsynet has the primary responsibility for supervising systems for retail payment services, including supervising the technical operation of these systems. As Finanstilsynet s supervisory tasks and Norges Bank s supervisory and oversight responsibilities in the financial infrastructure overlap, the two institutions work in close collaboration. Norges Bank is responsible for promoting an efficient payment system in Norway and vis-àvis other countries. This means that Norges Bank also assesses the efficiency of retail payment services. Finanstilsynet and Norges Bank are in regular contact, and the two institutions exchange information and consult each other before important decisions affecting the payment system or the settlement system are made. The Norges Bank Norges Bank (Central Bank of Norway) oversees the financial infrastructure, including the payment system and the securities settlement system, and supervises systems for clearing and settlement of interbank money transfers (interbank systems). This is part of Norges Bank s work to promote financial stability. Under Section 1 of the Norges Bank Act, Norges Bank is responsible for promoting an efficient payment system in Norway and vis-à-vis other countries. The payment system, as referred to in Section 1 of the Act, comprises any means, systems or instruments that can be used to execute or facilitate payment transactions. An efficient payment system completes payment transactions quickly, reliably and at low cost. Norges Bank is responsible for promoting an efficient payment system. The Bank does this by: Providing secure and efficient settlement of interbank payments in banks accounts in Norges Bank, Supplying banknotes and coins and ensuring that they function effectively as payment instruments, and Overseeing important developments in the payment system and identifying ways to improve the system s resilience and efficiency. Norges Bank is responsible for supervising interbank systems pursuant to Chapter 2 of the Payment Systems Act. Citi in Norway Citibank International Limited Norway Branch opened a representative office in 1973 and in 1985 became the first foreign bank to be registered in Norway. Citi focuses on serving major Norwegian corporations, financial institutions and public sector names globally, as well as multinational subsidiaries operating in Norway. Head Office Address Citibank International Limited Norway Branch Tordenskioldsgate 8-10 PO Box 1481, Vika Oslo, Norway Tel: Fax: Norway Country Profile 3

6 Clearing Systems The principal payment system in Norway is the banking industry s joint clearing system (NICS) and the central bank s own settlement system (NBO). The Norwegian clearing system is not connected to the ECB s settlement system, TARGET, for euro payments. High Value Payment System NBO NBO is Norges Bank s settlement system in which banks can settle claims and liabilities with other banks through their accounts in Norges Bank. NBO comprises both gross and net settlement facilities. The international messaging and communications network SWIFT is the main channel for the largest banks payment orders to NBO. Norges Bank has established a closed user group based on Y-copy for banks that use SWIFT and have an account with Norges Bank. Payments in SWIFT format can be sent directly to NBO or via NICS for banks included in the closed user groups for NICS SWIFT. Automated procedures for settlement of payment instructions and provision of account information have been established for SWIFT-based payments to banks that are not SWIFT members. Participating banks have direct access to NBO via NBO Online and can monitor account balances, access detailed information about securities pledged to Norges Bank, make enquiries and make printouts of reports. The banks can also use NBO Online to register payment orders and manage payment orders held in a queue. Low Value Payment Systems Norwegian Interbank Clearing System (NICS) The Norwegian Interbank Clearing System (NICS) is the banks joint system for receiving and clearing payment transactions. In Norway, nearly all payment transactions are sent to NICS before being relayed to Norges Bank for settlement in Norges Bank s settlement system (NBO). The NICS Operations Office is authorised by Norges Bank as the operator of NICS. The NICS Operations Office has outsourced the operation of NICS to Nets Norge Infrastruktur AS, which is wholly owned by Nets Norway AS, which in turn is owned by the Danish holding company Nets Holding A/S. The NICS Operations Office has ultimate responsibility for the operation of NICS. Most transactions received by NICS are included in a multilateral clearing in which each bank s position against other banks has been calculated. The clearing result is sent to Norges Bank for settlement. Settlements at Norges Bank take place at am, am, 1.30 pm and 3.30 pm. If all the banks have sufficient cover in their accounts with Norges Bank, settlement is concluded a few minutes after NBO has received the clearing result from NICS. After settlement, the transactions (referred as accounting data) are returned to the banks via NICS to be entered as credits or debits in bank customer accounts. NICS processes primarily low value NOK denominated transactions, such as credit transfers, direct debits, supplier payments, wage payments, card payments ATM withdrawals etc. 4 Norway Country Profile

7 Clearing Streams Clearing Stream (CS) Payment Type Payment Instruments Norges Bank Electronic High Value Domestic Funds Transfer (WIREs) Cross Boarder Funds Transfer (cover messages) NICS Electronic Low Value Domestic ACH transactions Direct Debits Payroll Card transactions Citi London (Indirect) Electronic Low Value SEPA (EUR) SEPA payments via Citi London TARGET2 and EURO1 via Citi London Electronic High Value (EUR) Cross-border High-Value Funds Transfer Funds Availability Schedule Norges Bank regulates value-dating practices. Float is NOT permitted ( Finansavtaleloven ). Cut-off Time Funding Date Client DR / CR Date Client Value Date Local Currency Electronic Transfers via NBO (High Value) Value Date Value Date Same Day Local Currency via NICS (Low Value) Value Date Value Date Same Day Local Currency Book-to-book Value Date Value Date Same Day Foreign Currency Transfers Currency Dependent Currency Dependent Currency Dependent Currency Dependent Norway Country Profile 5

8 Foreign Exchange Controls No restrictions exist. Currencies may be freely converted and repatriated. 6 Norway Country Profile

9 Taxation Overview Resident taxpayers are subject to tax on their worldwide income and capital gains. Resident taxpayers are also subject to net wealth tax on their worldwide assets, provided they are resident on 1 January in the relevant fiscal year. Non-residents are subject to tax on income from Norwegian sources and on capital gains only when they carry out business in Norway and the gain is attributable to that business. Income Tax Income tax chargeable at net income is levied at a flat rate of 27% on the net income. In Finnmark and certain municipalities in Troms a lower rate of 24.5% applied. Withholding Tax Withholding tax is levied on dividend payments made to non-resident shareholders at a rate of 25% if a lower rate is not provided for by double tax convention. Dividends paid to companies resident within the EEA* are exempt from withholding tax. The exemption method will only apply if the shareholders company is properly established and performs real economic activity in the relevant country. Shareholders resident outside the EEA would still be charged withholding tax, subject to limitations under tax treaties. Apart from the withholding tax on dividends, there are no withholding taxes in Norway. *The EEA includes all member countries of the European Union (EU), as well as Norway, Iceland, and Liechtenstein. Corporate Tax A uniform corporate tax rate of 27% applies to the sum of profits and capital gains. Limited companies do not pay net wealth tax. VAT The general rate VAT rate is 25%. A reduced rate of 15% applies to food. A further reduced rate of 8% applies to public transportation services, hotel lodging, broadcasting charges and cinema shows. Property Tax Local authorities in urban areas may levy a property tax. The tax may vary between % of the taxable fiscal value of the property. Wealth Tax The net wealth tax for limited companies was abolished from Other corporations and partnerships pay state net wealth tax of 0.3% and municipal tax of 0.4%. Norway Country Profile 7

10 Citi Solutions and Services Account Services Resident/non-resident status A company is generally considered resident in Norway if it is incorporated under Norwegian law or if its place of effective management is located in Norway. Resident Current Accounts Resident and Non-resident accounts are permitted in both local currency and foreign currency. Resident Savings Accounts There is no real distinction between savings and current accounts. Non-resident Accounts Non resident bank accounts are permitted in both foreign and domestic (NOK) currency. Non resident domestic currency accounts can be held abroad and are convertible into foreign currency. Currency Convertibility Foreign exchange accounts and domestic currency (NOK) accounts can be held by residents both domestically and abroad. Resident domestic currency accounts are convertible into foreign currency. Interest & Overdrafts Interest can be paid on all local currency accounts. Overdrafts are allowed for all resident and non-resident local currency accounts, if lines are approved. Withholding Tax accounts (Skattetrekkskonto) Payment of corporate taxes in Norway requires the use of a specific purpose tax account. This account functions as a normal current account with the limitation that it will be blocked from any withdrawals other than withdrawals for the benefit of the tax authorities. 8 Norway Country Profile

11 Citi Solutions and Services Payments Our payment solutions are designed for both local and overseas payments. Clients use CitiDirect BE Online Banking and CitiConnect for Files and can select a combination of services needed to meet both domestic and international payment need. Citi Payments Capabilities Domestic Wires Cross- Border Wires ACH/ Low Value Direct Debit Payroll Transfers Multibank Transaction Initiation Cheques/ Giro forms SEPA Credit Transfer Domestic Wires (High Value) Citibank Norway also offers capability to initiate urgent high value domestic transactions (WIRE) which are settled directly in NBO. Cross-border Wires Utilising Citi s extensive global network, clients can execute same day value payments in many major foreign currencies within Citi s global network. Using CitiDirect BE, you can initiate foreign currency payments from your current accounts, payment processing within our own global network enables us also to significantly accelerate cross-border payments processing and reduce processing times. Supported currencies: EUR, USD, GBP, SEK, DKK, NOK Domestic Transfers (Low Value, ACH) Citi Norway can provide clients with current accounts and access to CitiDirect BE electronic banking to allow simple initiation of domestic payments, in NOK. Clients can initiate payments to beneficiaries who hold their accounts with other domestic banks in Norway or make Book-to-book payments to beneficiaries who also hold their accounts with Citi Norway. Direct Debit In Norway Direct Debit there are two direct debit products for Business to Consumer market called Avtalegiro, and Business to Business called Autogiro. Citibank support collections via Avtalegiro product via our Host to Host solution CitiConnect for Files. Payroll Transfers The Payroll package is a range of banking services that are designed to meet Client s needs related to payments such as commissions, fees and other cash payments to your employees. Payroll payments are supported through our award winning online banking platform CitiDirect BE as well as Host to Host gateway, CitiConnect for Files. Multibank Transaction Initiation (MBTI) MBTI enables the concentration of funds into Citi accounts from third party local banks. Using CitiDirect BE a client is able to instruct their local banks to move excess funds to Citi, either for investment purposes or to fund shortfalls. This also achieves the up streaming required in an overlay structure for a regionalized or centralised treasury. Norway Country Profile 9

12 Cheques Local Giro forms (e.g. for Tax returns) are supported. SEPA Credit Transfers Citi has been one of the key drivers behind the SEPA initiative since its inception. From the launch of SEPA Credit Transfers in January 2008 Citi has been offering this new payment method across major SEPA geographies including Norway. Clients are enabled to make SEPA Credit Transfers via both our electronic banking and our file based gateway, CitiDirect BE Online Banking and CitiConnect for Files respectively. Commercial Cards A Card-based payment solution deployed as a central part of the expense management process for employee Travel and Entertainment as well as procurement. Citi supports a broad range of card products (Corporate, Purchasing, One Card, Lodge and Single-use accounts). Cards are issued in over 100 countries globally, via a single proprietary source, ensuring control and consistency. Citi is the only global bankcard issuer that does not rely on partner banks to deliver local currency Commercial Cards solutions in over 46 different currencies and 25 local languages. Citi is a dual issuer of MasterCard and Visa Offering unsurpassed acceptance at 32 million merchant locations and 1,500,000 ATMs in 140 countries. Prepaid Cards Citi Prepaid Card Solutions provide clients with a more efficient and cost effective way to pay. Our full suite of prepaid solutions enable you to move from less efficient means of payments Such as paper cheques or vouchers To a comprehensive set of electronic payments solutions that are simple to execute, convenient for Citi Solutions and Services your audience and provide a better experience for both you and the beneficiary. Our solutions reduce per-payment costs; streamline operations and increase programme results and communication through our proven methodology and support. The prepaid card programmes offered by Citi are customised solutions that can help companies revolutionise how they: Deliver payroll to their transient or temporary workforce, make timely per diem daily payments and deliver employee rewards in a manner that is convenient to their staff Improve the effectiveness of sales and marketing campaigns through the immediate fulfilment of incentives that reward customer loyalty and desired behaviour, from refer-a-friend programmes to campaigns that promote spend-back to the company Enhance customer service by facilitating the instant payment of refunds and rebates Make more frequent and immediate sales commission payments to a franchised sales force Worldlink Payment Services A complete solution that enables clients to issue cross-border electronic and cheque payments, It permits you to initiate and control your payments online while simultaneously outsourcing the preparation and delivery of cheque payments and electronic funds transfers. Worldlink Funds Transfers enables you to make payments in over 135 currencies. Citi affects the appropriate funds transfer to the beneficiary's dedicated bank for credit to its account, providing speedy delivery of funds. 10 Norway Country Profile

13 Citi Solutions and Services Receivables Citi s integrated receivables solutions suite simplifies the collection of paper and electronic payments and expedites the conversion of our clients receivables. Our solutions employ the latest processing and information technologies in order to provide clients with a transparent receivables service, and provide them with the information and insight needed to make informed and smart business decisions. Citi Collections Capabilities ACH Receipt Domestic Wires Cross Boarder Funds Transfers ACH Direct Debit Lockbox SEPA Credit Transfer SEPA Direct Debit ACH Receipt Domestic receipts from NICS are received electronically and will be credited to your local currency account on the same day Citi Norway receives the funds on our correspondent account, with the same-day value date. Domestic WIRE Domestic receipts from RTGS system (NBO) received electronically will be credited to you on the same day Citi Norway receives payment message from central bank prior to the cut-off time. Payments received after this time will be credited to your account with next business day value. Incoming Cross Boarder Funds Transfers Local accounts can be credited through the transfer of funds from abroad. The FX market is currently free of restrictions on the purchase or transfer of foreign currency. Direct Debit (ACH Collections) Drawing of funds out of the account of clients customer held with any local financial institution, based on authority by the customer. Lockbox Citi s European Lockbox services aim to address the time-consuming and labour-intensive process of capturing data from paper receivables, such as cheques and remittance advices. It enables you to outsource this process to Citi, who will in turn provide you with information that you can integrate directly into your Accounts Receivable system thus streamlining your reconciliation process. SEPA Receipts Local NOK accounts can be credited through SEPA CT (FX conversion will apply). Accounts Receivables Matching Service Citi s Accounts Receivables Matching Service works in tandem with Citi s European Lockbox and Electronic Banking services to integrate collection, clearing, data capture and matching services into a fully automated receivables solution. Norway Country Profile 11

14 Citi Solutions and Services Liquidity Management Citi Norway offers a complete range of flexible Liquidity and Investment solutions for clients to help increase efficiency and maximise return on cash balances Through Citi Norway clients can participate in the following: Domestic Target Balancing Cross-border Cross-border Target Balancing Notional Pooling Cross-currency (1) Target Balancing Domestic Target Balancing Where there is more than one account for each entity in-country, there is the option to first concentrate balances into a Domestic Concentration Account using this solution in order to pool all funds in-country. Cross-border Target Balancing Once all funds have been concentrated on a domestic basis, clients can physically sweep all pooled funds from the Domestic Concentration Accounts in-country into Master Concentration Accounts in the name of each individual entity for onward investment. This solution is highly recommended for funds that are domiciled incountry as this ensures that all entities retain responsibility for its own cash. Single Currency Notional Pooling Once funds have been target balanced into separate Concentration Accounts, clients can sweep all funds from your entities, on a notional basis, to a Single Currency Notional Pool to maximise your balances on a per currency basis. Multi-Currency Notional Pooling Once funds have been notionally pooled, all currencies can be linked to form a Multi-Currency Notional Pool. Benefits of Citi s Recommended Liquidity Structures Citi s liquidity solutions will provide you with a number of benefits, as follows: Automated true end-of-day movement of funds, Flexibility The ability to determine individual target balances for each participating account, minimum sweeps, the frequency of the sweep and multiple one-way sweep concentration options, Effective Account Autonomy The ability for participating companies to retain full access to their funds and operate their accounts autonomously during the day, The opportunity to maximise interest earned or minimise net interest paid, Inclusion of third party accounts and various methods of transferring funds from third party accounts; including an automated method via Citi s Multi-Banking solution, Easy to implement and easy to manage, Treasury control of all single currency positions, Single electronic banking system for all Citi accounts providing various liquidity reports with next day account information available for third party accounts, Intraday reporting for all Citi accounts improving Treasury s control of cash. 12 Norway Country Profile

15 Citi Solutions and Services Citi Investments Citi Norway would support any investment needs through Citibank Europe or Citibank London. Long-term Investment Long-term Time Deposit Short-term Investment HIYA, Time Deposits or Money Market Funds Citibank High Interest Yield Account (HIYA) Citibank High Interest Yield Account (HIYA) provides a superior rate of interest not normally earned on a current account, but retains the convenience and flexibility of a current account. The interest rate can be tiered incrementally according to the amount of your deposits and benchmarked against a market rate. HIYA would also complement a Target Balancing or Notional Pooling concentration structure as set up at the header account level and therefore earning these rates on the concentrated or notional net balance. Time Deposits Time Deposits are offered for a specific tenor, currency and principal amount. Interest is paid when the deposit matures at a fixed rate, agreed and calculated at the time of booking. Time Deposits can be booked via the phone with the Citi Transaction Services Liquidity Desk in Dublin, or using Citibank Online Investments. Citibank Online Investments Citibank Online Investments is a global, secure, Web-based investment system with a range of investment options including term products and money market deposit accounts. Available via single sign-on through CitiDirect BE Online Banking and Treasury Vision, clients can go online to view rates, book time deposits online, with up to date status reporting. Treasury Vision Treasury Vision turns comprehensive forecast data into useful information. View forecasts at a global, regional or local level; by geography, business unit or legal entity; on a daily, weekly or monthly basis. CFF is a powerful and flexible tool providing users the ability to create a holistic forecast including data from banks, internal forecast and systems (e.g., ERP, TMS). Using customizable forecast templates, users can create short-, medium- and long-term forecasts and perform actual versus forecast comparisons. Cash forecasting analytics enable users to analyse all of their legal entity cash forecasts in a single, aggregated view across a variety of available parameters. Norway Country Profile 13

16 Citi Solutions and Services Trade Finance and Services All trade services for Norwegian customers are supported from Citibank London. Citi s suite of supply chain solutions mitigate risk and enable our clients to have access to the short-term capital they need to make their business function. Our pioneering work in export and agency finance (EAF), for example, has filled a critical gap in credit during the recent slowdown Illustrating our ability to ensure credit flows even in today s times. Our working capital solution sets cover both the internal Trade Finance And outside EAF Finance options for firms and are available to both corporates and FIs, and these solutions are complemented by a range of Trade Services. All of these solutions are grounded in our core strengths: Global coverage, expert customisation, client-responsive innovation, and unsurpassed execution. Citi offers a range of services from traditional letters of credit to our Open Account Trade Processing Developing risk and working capital solutions that help corporations conduct, monitor, and control international commercial transactions as well as mitigate their associated risks: From issuing and paying letters of credit to handling settlement and administration of documentary collections. Other Trade Services include: Import Letter of Credit (L/C) Export Letter of Credit (Advising, Negotiation and Confirmation) Enhanced Open Account Importers and Exporters who regularly conduct business with each other can reduce the time and costs associated with letters of credit and documentary collections by taking advantage of Citi s efficient, electronic, data-enriched open account trade process. Citi not only effects payment for open account purchases, but also transforms and streamlines the entire reconcilement process Between trading partners located virtually anywhere in the world. With Citi s Enhanced Open Account Trade Processing, clients benefit from our team s knowledge of local trade practices, regulations, market risks, and understanding of trade documents. Since we process a very high volume of trade transactions daily, we handle very cost effectively the straight-through processing of trade transactions. Trade Advisor Trade Advisor is a free online inquiry tool available as part of the functionality of CitiDirect BE Online Banking, provides all parties to trade transactions with information on the status of their transactions. Similar to courier delivery tracking applications, Trade Advisor lets our clients And their business partners and suppliers Access summary information online using a transaction reference number. Trade Finance Guarantees (Performance and Financial) Risk Participation Documentary and Direct Collections Trade Outsourcing for Financial Institutions Channel-finance 14 Norway Country Profile

17 Citi Solutions and Services Delivery Systems SWIFT Local Address: CITINOKX Messages Time Limits: Messages are acted upon the same day Citibank International Limited in Norway offers a full range of SWIFT message types and supports the following: MT103, MT200, MT202, MT203, MT210, MT900, MT910, MT940 and MT950 payments, statements and advices. CitiDirect BE Online Banking CitiDirect BE is Citi s flagship Electronic Banking platform for both Cash and Trade. It is used by over 60,000 of Citi s banking, corporate and Public Sector clients. For Cash management it comprehensively supports Payables, Receivables, Liquidity and Reporting for the most demanding clients in the world. Citi invests over USD 100MM annually in CitiDirect BE to include the latest capabilities (e.g. SEPA), to incorporate the latest regulatory changes, to ensure compliance with the latest directives (e.g. PSD) and to ensure that the technology architecture remains current. CitiConnect for Files CitiConnect is high volume transaction and information delivery solution. Through a single file solution clients can focus on primary business objectives while realising the efficiency advantages that payments outsourcing and centralisation provides. The key functionalities of CitiConnect for Files include Single Delivery Channel It provides a single delivery channel for cost efficient transmission and receipt of files from anywhere in the world, at any time of the day or night Increased Efficiencies Streamline large or small volume payables and/or receivables by sending and receiving consolidated files of your global activity, attaining higher levels of operating efficiency and closer integration with your financial supply chain Secure A secure global gateway for file transmission and translation that effectively integrates payments, receivables and information with accounting, ERP and other financial systems Leverage Existing Services Provides access to Citi s global payment and collections capabilities in over 90 countries and more than 100 currencies Integration Interfaces with Enterprise Resource Planning systems like SAP and legacy backend systems such as Electronic Data Interchange (EDI) platforms Reporting Provides extensive reporting capabilities, including electronic bank statements and detailed confirmation files, notifications and browser-based status information The service offers a highly flexible format translation framework, supporting standard formats such as ISO XML, SAP IDOC, EDIFACT, ANSI ASC X12, CP2E as well as the ability to accommodate custom formats. In addition to advanced security features that ensure the integrity of data and transactions at all times, the service offers a large selection of communication options including FTP, FTP/S, AS2 and SFTP as well as HTTPS and C:D using Internet and VPNs. Norway Country Profile 15

18 Notes 16 Norway Country Profile

19 Citi Transaction Services Citibank N.A. All rights reserved. Citi and the Citi and Arc Design are trademarks and service marks of Citigroup Inc. or its affiliates and are used and registered throughout the world. Citibank, N.A. is incorporated with limited liability under the National Bank Act of the USA and has its principal business office at 399 Park Avenue, New York, NY 10043, USA. Citibank, N.A. London branch is registered in the U.K. at Citigroup Centre, Canada Square, Canary Wharf, London E14 5LB under No.BR and is authorised and regulated by the Financial Services Authority in the United Kingdom. VAT No. GB Ultimately owned by Citigroup Inc., New York, USA.