Business Round-Up: Coronavirus the equivalent of every Dane losing 33,000 kroner in 2020

Elsewhere, Norwegian is paying through the nose and house sellers are struggling like never before

New calculations from the Danske Industri indicate the loss caused by the Coronavirus Crisis could be more than 190 billion kroner – the equivalent of 8.3 percent of the Danish GDP.

If the loss is passed on to every Dane evenly, the number rounds up 33,000 kroner per person this year alone.

DI’s estimate has risen approximately 25 percent from 155 billion kroner, its prediction four weeks ago.

Norwegian declares its Danish subsidiaries bankrupt
Norwegian Air has filed for bankruptcy at its three Danish subsidiaries, reports. Despite access to Danish relief packages and overall cost reductions, the payroll of the airline’s pilots and cabin crew was just too burdensome to the company. According to the CEO of the airline,Norway has a better wage compensation scheme than Denmark and Sweden, where another of its subsidiaries has been declared bankrupt. In Denmark, 614 employees will lose their jobs as a result of the bankruptcy.

US looking to support Greenland financially
The United States is “preparing a substantial package of financial support” for Greenland, according to an article on Altinget written by Carla Sands, the US ambassador to Denmark. The financial support is earmarked for “renewable energy for growth in Greenland”. However, Danish MP Christoffer Melson, a Venstre representative on Parliament’s Greenland committee, is unsure the support can be accepted. “Greenland desires to attract business investment and develop the economy, but it is up to what extent one will enter into cooperation,” he told DR.

Free hand-sanitiser for teachers and pedagogues
In light of the reopening of some kindergartens and schools, Matas is offering 100,000 bottles of free hand-sanitiser to returning workers. Previously, Matas had a short supply, but now its shelves are full again. As of April 27, teachers can go to one of the 250 open Matas stores and get one bottle of free 200 ml hand-sanitiser.

Danish protective gear a hit abroad
Danish companies are busy exporting protective equipment such as masks, hand sanitisers and face visors.  According to Danske Industri, the priority is to supply within Denmark, but if the country has a sufficient quantity, the equipment can be exported. Countries such as Poland, Germany, India, Iran and the United States are in the queue. DI has announced that it is ready to talk to countries outside the EU that are in short supply of protective equipment. However, as per a new EU export regulation imposed on March 14 to limit the export of protective equipment to non-EU countries, a special permit might have to be requested.

Vester laying off 400
Danish wind turbine manufacturer Vestas is laying off 400 employees as it has stopped a number of ongoing technology projects during the pandemic. Most of them are in Denmark: the majority in Aarhus and Lem. Additionally, some leaders in executive management will be subject to a 10 percent pay-cut until the end of 2020.

Housing market hit hard
Housing sales in Denmark have slowed down in the past month, according to recently published figures from In March 2020, 1,288 apartments were sold – a fall of 17.3 percent compared to March 2019. The dip bucks the seasonal upsurge normally seen in May, Nordea Kredit informs Finans.