The GBP/NOK currency pair settled below Friday’s high of 13.8755, its strongest level since May 2nd, after the release of the latest GDP growth data out of both the UK and Norway.

The Norwegian economy contracted 0.1% quarter-on-quarter in Q1 of 2025, after a revised down 0.9% decline in the preceding quarter.

The GDP contraction was primarily due to continued decline in petroleum activities and ocean transport as well as a steep drop in fixed investment.

Norway’s mainland GDP, which does not include the petroleum-based offshore segment, grew 1% quarter-on-quarter in Q1 of 2025, while exceeding market consensus of 0.6% and rebounding from a 0.4% drop in the prior quarter.

It has marked the strongest growth rate since the second quarter of 2022, supported by high electricity output due to unusually full water reservoirs.

At the same time, the UK posted stronger-than-expected economic growth in the first quarter of 2025, 0.7%, compared to analysts’ forecasts of 0.6%. This followed a 0.1% growth in Q4 of 2024.

In annual terms, UK’s GDP grew 1.3% in the first three months of 2025, edging past the 1.2% projection. Yet, it slowed from the 1.5% increase seen in the previous quarter.

In addition, March’s monthly GDP growth was 0.2%, while economists had expected a flat reading.

Still, the global impact of the Trump administration’s trade war and British businesses warning of a hit from a raise in UK employment taxes could hamper the outlook.

The GBP/NOK currency pair settled 0.49% lower at 13.7933 on Friday.

The exotic Forex pair gained 0.08% for the week.