Danish economy

Main article: Denmark

Financial system

Sovereign Wealth Fund

GDP

2023: Recession as GDP declines in Q2 and Q3

According to the results of the third quarter of 2023, the Danish economy plunged into recession amid the fall of the pharmaceutical industry and attempts to put pressure on Russia.

2022

Industry's share of GDP is less than 12.5%

GDP size - $0.39 trillion

2021

GDP size - $0.4 trillion

Agriculture's share of GDP is less than 2%

Inflation

2022

Inflation in November - 10.1%

Inflation in July - 8.7%

Inflation hit 6.7% in April - the highest level since 1984 due to rising energy prices

Denmark's April 2022 inflation rate rose to its highest level since 1984 as electricity and heating prices jumped.

Inflation in March - 5.4% - a record since 1985.

March inflation in 2022 accelerated to 5.4%, the highest level since 1985.

After a decade in which price increases were less than 2% a year, consumers have to deal with significant growth and will have to get used to the worst. Inflation in the country has yet to peak, buoyed by strong demand for the country's goods and services abroad and continued wage growth, said Bjorn Tangaa Sillemann, senior analyst at Danske Bank A/S.

January consumer price rise of 4.3%

Consumer prices in January 2022 in Denmark increased by 4.3% compared to a year earlier. Commodity prices jumped 6.6%, the biggest year-on-year increase in any month since 1985.

Investments

2023: Foreign investment - 2022 level

National Bank of Denmark

Main article: National Bank of Denmark

Non-financial debt

2022: Aggregate non-financial debt

National debt

The ratio of public debt to the country's GDP

2023: State debt - 30% of GDP

2017: State debt - 35% of GDP

Public debt per capita

Salaries

2025: Average pay after taxes - $3,729 (as of March)

Average wages after taxes, according to data available for March 2025:^[1]

1️⃣ Switzerland: $6,704
2️⃣ Luxembourg: $6050
3️⃣ USA : $4,338
4️⃣ Iceland: $4,182
5️⃣ Singapore: $3,818
6️⃣ Qatar: $3,800
7️⃣ Denmark: $3,729
8️⃣ Hong Kong: $3,619
9️⃣ Netherlands: $3,555
Norway: $3,489

2024: Maximum personal income tax rate - 55.9%

2021: Average net income per employee - 30.6 thousand euros per year

2020: Companies are compensated for up to 90% of salaries and rent

In early April 2020, it became known that the Danish government will compensate rent to affected companies, as well as from 75 to 90% of workers' wages over the next three months, provided that companies do not massively lay off people.

All political parties merged with trade unions and employer associations. The $2 trillion package expanded the standard unemployment insurance system and created a cash pool that should help affected companies.

Salary retention and rental assistance are collectively estimated at 42.6 billion Danish kronor (about $6.27 billion) minus the unemployment insurance system. The goal of such an approach is to prevent painful mass unemployment, since in such conditions enterprises will be able to keep their workers, and not try to lay them off, in order to then hire again after the crisis. As soon as the situation normalizes, companies will be able to quickly resume their activities, restoring economic growth.

One of the reasons the Danes were able to quickly raise huge sums for social support is the already developed social safety net. In 2018, taxes collected by the Danish government accounted for 49% of the country's annual output. For comparison, in the Netherlands this figure was 39%, in the UK - 34%, and in the USA only 24%. People accept an extremely high tax burden in exchange for benefits such as national health care, free public education, protection for people who lose their jobs.

It soon became clear that we were in an exceptional situation when it was necessary to propose exceptional initiatives very quickly, "said Carl-Johan Dalgaard, an economist at the University of Copenhagen and chairman of the Danish Economic Council, which advises politicians. - If you support companies and thereby reduce the risk of bankruptcies and layoffs, this will accelerate the return to normal life.[2]

2017: Average monthly salary

Labour market

2023: 17.1% of the population is not working full-time

2022: Proportion of workers aged 65 or over - above 10%

2020: Pension granted from age 66, real retirement age for men is 64

2019: Average labor productivity - $76 per hour

Unemployment

2023: Youth unemployment - 9.3%

2022: Unemployment rate - 4.5%

2020: Unemployment rate - 6.2%

Energy carriers

2021: Gasoline price - $2.02 per litre

Power

2024: Denmark launches world's first molten salt energy storage

At the end of April 2024, the Danish company Hyme Energy launched the world's first clean energy storage platform using molten salts. The project was named Molten Salt Storage, or MOSS. Read more here.

2022

Share of solar and wind power - 51.9%

Rise in electricity prices due to pressure on Russia

2021: Renewable energy is the main source of energy in the country

2020: Energy consumption per capita

and

Agriculture

2025: Plan to implement the world's first CO2 tax from livestock production

By September 2025, Denmark had developed a plan to introduce the world's first CO2 tax from livestock production. The tax is aimed at livestock, allegedly the main source of CO2 emissions that contribute to climate warming on the planet.

From 2030, for every ton of emissions, the CO₂ equivalent emitted from raising cows and pigs will be fined. The goal is to reduce emissions by 70% to the level of 1990. Farmers will be offered incentives to switch to "clean" solutions.

At the same time, the state will invest billions of crowns in technologies that will help farmers reduce or offset emissions, thereby reducing their costs. Solutions can include: feed additives, biopesticides, processing manure into energy. The authorities promise to take into account the difference between animal breeds.

2021: 2.2% of workers are employed in agriculture

2019: Low use of pesticides in agriculture

4 in the world for potato production per capita

1. Belarus - 631.3 kg per 1 person

2. Ukraine - 487.4 kg

3. Netherlands - 384.8 kg

4. Denmark - 343.3 kg

5. Belgium - 299.2 kg

6. Latvia - 251.3 kg

7. Kyrgyzstan - 230 kg

8. Poland - 229.8 kg

9. Russia - 216.8 kg

10. Kazakhstan - 208.5 kg

Real estate

2021: The average level of housing provision for the population

Consumption

2023: Fish consumption is higher than meat consumption

2021

Prostitution: Abolitionism. Buying and selling sexual services is legal, organised activities are often illegal

There are 104 pet dogs per 1,000 people

2019

Average coffee consumption - 7.3 kg per year per person

Pork is the most consumed type of meat

Beer consumption in liters per year per person

Wine consumption - 34 liters per person

2018

Per capita tea consumption per kg per year

Milk consumption in liters per year per person

Alcohol market

2018: Minimum age to purchase alcoholic beverages

Trade

2022

Germany is the largest export destination

Trade deficit with China

2019: Computer Device Exports

Tourism

2021: Biggest outbound tourism destination - Spain

2019

Revenues of international tourism - 4.5% of the total export of goods and services

More than 30% of the population went on tourist trips. Spain is the most popular country

2018: Tourism revenue

Advertisement

2022: The growing influence of famous personalities in advertising

Transport

• Danske Statsbaner (DSB) - Railway Company
• Banedanmark (Danish Railways)

Cars

2024: Share of Chinese electric vehicles - 8% of 103 thousand units sold

2022: Minimum age to drive - 17

2021: Driving penalty with phone in hand €202

2018: Number of cars per 1000 people

Bankruptcies

2023: The rise of bankruptcies due to the failure of pressure on Russia

R&D

2020: R&D spending - $7.9 billion

Food industry

2021: Cheese production - 78kg per capita

Notes