Engelsk

Greenland has a booming economy and a marked need for foreign labour. Price increases remain modest due to the country’s special energy infrastructure. Although the Greenlandic economy is doing well, the Greenlandic politicians need to address a number of major challenges if growth is to continue. Fiscal policy is clearly unsustainable in the longer term and, in future, public expenditure cannot be funded under the current taxation rules. There is a growing need for reform of, e.g., the tax system and the education system.

On 23 November, Governor Lars Rohde held a presentation at The Danish Chamber of Commerce. In his presentation, he gave his view on the current economic situation. (The presentation is in Danish only).

The ultimate objective of macroprudential policy is to contribute to financial stability by curbing the build-up of systemic risks and alleviating negative outcomes for the economy should risks materialize . Measuring and communicating whether policy goals are achieved is challenging, as financial crises are rare and risks are often only measurable in case they materialize. The memo outlines how growth-at-risk can be used to illustrate the objectives of macroprudential policy.

On November 9, the government issued a euro bond maturing on No-vember 18 2024. The bond was issued as a bullet bond with a coupon of 2.50 percent. In total euro 1.5 billion was issued. The issuance process and the composition of the investors can be seen in the attached press release. By continuously issuing in the EMTN programme, the program is kept active and thus forms part of the central government’s and Danmarks Nationalbank's liquidity reserve. The issuance also contributes to ensuring that everything in the issuance process functions as it should, and that the government maintains a strong and diversified market access in foreign currency funding.

Borrower-based regulation, influencing housing buyers’ access to credit, would have different effects depending on buyer’s demographics, wealth and location. By modelling housing buyers’ preferences and budget constraints, we find that any such regulation would push demand to suburban areas. Limits on debt-to-income ratios (DTI) would mainly affect buyers in the largest cities; however, we find that the restrictions would not affect net demand for small apartments in Copenhagen.

On 3 November, Governor Lars Rohde held a presentation at The Danish Property Federation. At the meeting, he presented his view on the Danish economy and the housing market. (The presentation is in Danish only).

On 31 October, Danmarks Nationalbank hosted a conference marking Denmarks 40 year fixed exchange rate regime. The speakers at the conference were Governor Lars Rohde, Governor Per Callesen, Governor Signe Krogstrup, former Governor Bodil Nyboe Andersen, former Prime Minister Poul Nyrup Rasmussen, Professor Barry Eichengreen, Governor at Norges Bank Ida Wolden Bache, Governor at Sveriges Riksbank Stefan Ingves and Member of the ECB's Executive Board Philip Lane.

​In October 2022, the foreign-exchange reserve increased by kr. 9.4 billion to kr. 563.6 billion. For settlement in October, Danmarks Nationalbank's net purchase of foreign exchange due to intervention in the foreign-exchange market amounted to kr. 22.3 billion.