Page last updated on February 14, 2013
Economy - overview:
This thoroughly modern market economy features a high-tech agricultural sector, state-of-the-art industry with world-leading firms in pharmaceuticals, maritime shipping and renewable energy, and a high dependence on foreign trade. Denmark is a member of the European Union (EU); Danish legislation and regulations conform to EU standards on almost all issues. Danes enjoy a high standard of living and the Danish economy is characterized by extensive government welfare measures and an equitable distribution of income. Denmark is a net exporter of food and energy and enjoys a comfortable balance of payments surplus but depends on imports of raw materials for the manufacturing sector. Within the EU, Denmark is among the strongest supporters of trade liberalization. After a long consumption-driven upswing, Denmark's economy began slowing in 2007 with the end of a housing boom. Housing prices dropped markedly in 2008-09 and, following a short respite in 2010, has since continued to decline. The global financial crisis has exacerbated this cyclical slowdown through increased borrowing costs and lower export demand, consumer confidence, and investment. The global financial crises cut Danish real GDP in 2008-09. Denmark made a modest recovery in 2010 with real GDP growth of 1.3%, in part because of increased government spending; however, the country experienced a technical recession in late 2010-early 2011. Historically low levels of unemployment rose sharply with the recession and have remained at about 6% in 2010-12, based on the national measure, about two-thirds average EU unemployment. An impending decline in the ratio of workers to retirees will be a major long-term issue. Denmark maintained a healthy budget surplus for many years up to 2008, but the budget balance swung into deficit in 2009. In spite of the deficits, the new coalition government delivered a modest stimulus to the economy in 2012. Nonetheless, Denmark's fiscal position remains among the strongest in the EU with public debt at about 45% of GDP in 2012. Despite previously meeting the criteria to join the European Economic and Monetary Union (EMU), so far Denmark has decided not to join, although the Danish krone remains pegged to the euro. Denmark held the EU presidency during the first half of 2012; priorities included promoting a responsible, dynamic, green, and safe Europe, while working to steer Europe out of its euro zone economic crisis.
GDP (purchasing power parity):
$208.5 billion (2012 est.)
country comparison to the world: 54
$209.4 billion (2011 est.)
$207.8 billion (2010 est.)
note:
data are in 2012 US dollars
[see also:
GDP country ranks ]
GDP (official exchange rate):
$309.2 billion (2012 est.)
[see also: GDP (official exchange rate) country ranks ]
GDP - real growth rate:
-0.4% (2012 est.)
country comparison to the world: 191
0.8% (2011 est.)
1.3% (2010 est.)
[see also:
GDP - real growth rate country ranks ]
GDP - per capita:
$37,700 (2012 est.)
country comparison to the world: 30
$37,700 (2011 est.)
$37,500 (2010 est.)
note:
data are in 2012 US dollars
[see also:
GDP - per capita country ranks ]
GDP - composition by sector:
agriculture: 1.3%
[see also: GDP - composition by sector - agriculture country ranks ]
industry:
22.1%
services:
76.6% (2012 est.)
Labor force:
2.848 million (2012 est.)
country comparison to the world: 105
[see also: Labor force country ranks ]
Labor force - by occupation:
agriculture: 2.6%
[see also: Labor force - by occupation - agriculture country ranks ]
industry:
20.3%
services:
77.1% (2011 est.)
Unemployment rate:
6.4% (2012 est.)
country comparison to the world: 66
6.1% (2011 est.)
[see also:
Unemployment rate country ranks ]
Population below poverty line:
13.4% (2011)
[see also: Population below poverty line country ranks ]
Household income or consumption by percentage share:
lowest 10%: 1.9%
[see also: Household income or consumption by percentage share - lowest 10% country ranks ]
highest 10%:
28.7% (2007)
Distribution of family income - Gini index:
24.8 (2011 est.)
country comparison to the world: 133
24.7 (1992)
[see also:
Distribution of family income - Gini index country ranks ]
Investment (gross fixed):
17.2% of GDP (2012 est.)
country comparison to the world: 124
[see also: Investment (gross fixed) country ranks ]
Budget:
revenues: $176.5 billion
[see also: Budget revenues country ranks ]
expenditures:
$188.9 billion (2012 est.)
Taxes and other revenues:
57.1% of GDP (2012 est.)
country comparison to the world: 12
[see also: Taxes and other revenues country ranks ]
Budget surplus (+) or deficit (-):
-4% of GDP (2012 est.)
country comparison to the world: 131
[see also: Budget surplus (+) or deficit (-) country ranks ]
Public debt:
45.3% of GDP (2012 est.)
country comparison to the world: 74
46.6% of GDP (2011 est.)
note:
data cover general government debt, and includes debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data include debt issued by subnational entities, as well as intra-governmental debt; intra-governmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment; debt instruments for the social funds are not sold at public auctions
[see also:
Public debt country ranks ]
Inflation rate (consumer prices):
2.6% (2012 est.)
country comparison to the world: 57
2.8% (2011 est.)
[see also:
Inflation rate (consumer prices) country ranks ]
Central bank discount rate:
0.75% (31 December 2011 est.)
country comparison to the world: 135
0.75% (31 December 2010 est.)
[see also:
Central bank discount rate country ranks ]
Commercial bank prime lending rate:
4.6% (31 December 2012 est.)
country comparison to the world: 163
4.5% (31 December 2011 est.)
[see also:
Commercial bank prime lending rate country ranks ]
Stock of narrow money:
$134.2 billion (31 December 2012 est.)
country comparison to the world: 27
$134.9 billion (31 December 2011 est.)
[see also:
Stock of narrow money country ranks ]
Stock of broad money:
$230.8 billion (31 December 2011 est.)
country comparison to the world: 38
$266.8 billion (31 December 2010 est.)
[see also:
Stock of broad money country ranks ]
Stock of domestic credit:
$664.7 billion (31 December 2012 est.)
country comparison to the world: 22
$640.6 billion (31 December 2011 est.)
[see also:
Stock of domestic credit country ranks ]
Market value of publicly traded shares:
$179.5 billion (31 December 2011)
country comparison to the world: 32
$231.7 billion (31 December 2010)
$186.9 billion (31 December 2009)
[see also:
Market value of publicly traded shares country ranks ]
Agriculture - products:
barley, wheat, potatoes, sugar beets; pork, dairy products; fish
Industries:
iron, steel, nonferrous metals, chemicals, food processing, machinery and transportation equipment, textiles and clothing, electronics, construction, furniture and other wood products, shipbuilding and refurbishment, windmills, pharmaceuticals, medical equipment
Industrial production growth rate:
1.9% (2011 est.)
country comparison to the world: 126
[see also: Industrial production growth rate country ranks ]
Current account balance:
$18.6 billion (2012 est.)
country comparison to the world: 21
$22.08 billion (2011 est.)
[see also:
Current account balance country ranks ]
Exports:
$110.8 billion (2012 est.)
country comparison to the world: 36
$111.8 billion (2011 est.)
[see also:
Exports country ranks ]
Exports - commodities:
machinery and instruments, meat and meat products, dairy products, fish, pharmaceuticals, furniture, windmills
Exports - partners:
Germany 16.9%, Sweden 13.2%, UK 9.9%, Norway 5.7%, US 5.5%, Netherlands 4.9%, France 4.3% (2011)
Imports:
$97.91 billion (2012 est.)
country comparison to the world: 36
