Norway's Wealth Fund Divests Ethically from Major Corporations

Norway's $2 trillion wealth fund announces divestment from U.S. company Caterpillar and five Israeli banks on ethical grounds related to the ongoing conflict in Gaza and the West Bank. The decision follows an August 18 announcement about reviewing investments based on ethics, prior to selling stake unspecified.

Norway's sovereign wealth fund, valued at $2 trillion and recognized as the largest in the world, has announced its ethical divestment from several major corporations. This includes the U.S. heavy equipment maker Caterpillar and five Israeli banks.

The affected Israeli financial institutions are Bank Hapoalim, Bank Leumi, Mizrahi Tefahot Bank, First International Bank of Israel, and FIBI Holdings. The Norwegian fund's decision is rooted in concerns over the conflict in Gaza and developments in the West Bank, aligning its investments with ethical standards.

The fund first signaled this intention on August 18, indicating a broader ethical review of its investment portfolio. However, the names of the companies were not disclosed until after the divestment was completed.

(With inputs from agencies.)