The Gross Domestic Product (GDP) in Denmark is expected to increase by 1.9 percent this year, according to the latest Economic Report from the Danish government. Economy Minister Stephanie Lose (Venstre) presented the report at a press conference at the Ministry of Finance on Friday, where she noted that the growth forecast has been revised down from the previously anticipated 2.7 percent in May.

Lose emphasized that the Danish economy continues to show positive indicators, including increasing purchasing power, controlled inflation, high employment levels, and a stable housing market. The government is optimistic that this positive trend will persist in the coming years.

Expectations for economic growth next year have been raised, with a projected GDP increase of 2.2 percent, compared to the earlier forecast of 1.8 percent. Lose highlighted the significant role of the pharmaceutical industry, particularly Novo Nordisk, in driving economic growth, while also noting that other sectors are beginning to show positive signs. Improvements in international conditions are also creating additional opportunities for Danish companies.

Inflation is expected to average 1.8 percent this year and is projected to rise to 2.0 percent next year, aligning with the European Central Bank’s (ECB) target for stable inflation at two percent.

The government has also revised its employment forecasts, now estimating an increase of 35,000 jobs this year, significantly raised from the previous estimate of 13,000. For the next year, a slight decrease of 5,000 jobs is anticipated, an improvement from the earlier estimated decline of 18,000.

The Economic Report is the government’s assessment of the state of the economy, which is updated three times a year, in May, August, and December.