Business Round-Up: Danish economy hit hard

Online shopping, in contrast, is booming

The Finance Ministry predicts that the country’s GDP could contract from anywhere between 3 and 7 percent in 2020 due to the impact of the coronavirus outbreak.

The finance minister, Nicolai Wammen, warned of higher unemployment to come, but touted government aid packages that have been implemented as well as a new loan scheme for small and medium-sized enterprises (SMEs) initiated on April 9.

The loan, which will be based on the latest VAT and payroll tax payments, is aimed at strengthening liquidity for businesses.

The loan, which will be interest-free, will need to be repaid on 1 April 2021.


Over 25,000 companies have applied for aid
Over 25,000 companies have applied for temporary salary compensation for their employees following the government’s launch of the application process on March 25, reports the Ministry of Business and Growth. The wage compensation scheme, which applies from March 9 to June 8, is aimed at preventing mass layoffs of employees by companies scrambling to rein in costs amid the coronavirus outbreak. Companies must have been severely affected by the outbreak and have faced “notice of redundancies for at least 30 percent of their staff or more than 50 employees”, according to the ministry’s webpage.

Danish online sales exploding
With storefronts across Denmark shuttered due to Covid-19 restrictions, Danish e-commerce is booming. Parcel services GLS and Postnord have told TV2 that Danes are shopping online at the same rate as during one of the busiest periods of the ‘Black Friday’ weekend. According to the price comparison service ‘Pricerunner’, the types of goods Danes are searching for online has also drastically changed, with items such as hand sanitiser, cleaning supplies, gardening tools, home exercise equipment and toys all having spiked in online searches.

Number of unemployed falls slightly
Figures from the Ministry of Employment show that total unemployment decreased slightly over the two-day period from Maundy Thursday to Good Friday. The total number of people registered as unemployed in Denmark decreased from 176,827 on Thursday to 176,819 on Friday. Some 45,135 of the total have lost their jobs during the coronavirus crisis.




  • The international who shaped Copenhagen

    The international who shaped Copenhagen

    Anna Maria Indrio is one of the most important architects in Denmark, having contributed to shaping Copenhagen into what it is today. Among her best-known projects are the extension of SMK and Arken, as well as the Natural History Museum and the Darwin Centre in London. She moved here 60 years ago, when “Copenhagen was gray and dormant. Predictions suggested it would become depopulated. But putting people at the center changed everything,” she said

  • Danish government passes amendment to increase citizenship fee by 50%

    Danish government passes amendment to increase citizenship fee by 50%

    Fees were raised to reflect processing costs and curb repeat applications, creating debate over whether the new charges erect barriers to political participation for internationals.

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    With half of its staff being international, the BioInnovation Institute reflects Denmark’s broader transformation into a global innovation hub. But can the country—and Europe—keep up the pace? “If reforms are made now, we can close the gap in ten years,” explains BII’s CEO

  • Denmark launches massive investment in the navy

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    Two months ago, the Danish PM announced that military equipment should be purchased in a hurry. The first plans for the sea are now ready. Additional plans for warships will follow this summer.

  • International designers struggle to find jobs in Denmark

    International designers struggle to find jobs in Denmark

    Many internationals come to Denmark to work as designers, but the field appears to be one of the hardest to break into. The Copenhagen Post spoke with two internationals struggling to find their way into the industry.

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