Danish economic growth shrinks in third quarter

Danmarks Statistik became the bearer of bad news today when it revealed revised figures for economic growth

It has been clear for a while now that the Danish economy didn’t do so well in the third quarter of this year.

However, Danmarks Statistik revealed today that negative growth was worse than anyone expected.

Revised reports
Danmarks Statistik revised its report for the quarter today – and the news is not good.

It turns out the economy experienced a negative growth of -0.4 percent, rather than the earlier estimate of -0.1 percent.

It was mainly foreign trade that contributed to this decline – exports fell at a rate of 1.9 percent. However, a growth in consumption of 0.6 percent helped balance the scales a bit.

Stalled upswing
Metroxpress reported that the chief analyst for Nykredit, Tore Stramer, believes this raises concerns about the economy’s upswing potential.

The status now is that the recovery has stalled over the spring and autumn after an otherwise strong start to the year. There is natural reason for some concern about the economy’s upswing fate,” he wrote in a commentary.

However, he does expect positive growth in 2016, based on factors such as lowered interest rates, increasing employment and low energy prices.