Outlook for the Danish economy - Spread of coronavirus delays recovery
Analysis - December 2020 - No. 26
Parts of the Danish economy are dominated by high activity, while other parts are limited by restrictions that delay recovery. Economic growth has slowed down, but is expected to pick up in 2021 as the population is vaccinated and restrictions are eased. Fiscal policy is currently stimulating demand in industries not affected by restrictions and in which activity is already high. Fiscal policy should not be eased further, but temporary relief measures may be extended to industries affected by restrictions.