Norway SWF To Invest In Palm Planters

The $550 billion Norway sovereign wealth fund will continue to invest in Southeast Asian oil palm planters but may exclude firms that harm the environment.

The $550 billion Norway sovereign wealth fund will continue to invest in Southeast Asian oil palm planters but may exclude firms that harm the environment, Reuters reports. Besides production of certain types of weapons and tobacco, the oil fund will invest in most industries, including agribusiness and palm oil producers, said Runar Malkenes, deputy director of the information division at the Ministry of Finance.

Green groups have criticized the Norwegian fund, claiming its investment strategy in palm oil firms was counter-productive to a $1 billion climate deal that Oslo had signed with Indonesia last year, which involves banning forest clearing. The finance ministry decides the investment mandate for the fund, which held palm oil-related stocks worth $428.7 million in its portfolio as of end-2010.

Click here for the story from Reuters.