New research from Danske Bank
Today’s Danish GDP figures were slightly better than initially accounted for two weeks ago. The upturn has proved itself very robust and surprised on the upside this year.
Growth in Q2 was driven primarily by public demand but overall both exports and private consumption look solid. Business investments are still at a low level though.
A fiscal tightening of 0.1% of GDP in the government’s budget proposal seems reasonable, although on the low side, with an economy expected to close the output gap as of 2018.
Flash Comment – Denmark: Solid Danish economic upturn continues