Members of the ruling Conservative party voted against giving financial guarantees to the bid amid concerns the games would be too costly.
Prime Minister Erna Solberg said to NTB: "We've received clear advice and there is no reason not to follow the advice. A big project like this, which is so expensive, requires broad popular support and there isn't enough support for it."
The vote by MPs was close. Parliamentary leader Trond Helleland said after the vote: “The group was split in the middle.”
The move leaves Beijing and Almaty in Kazakhstan as the remaining contenders to host the games.
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