Category: denmark

In the fall of 2022, significant price fluctuations occurred in Danish mortgage bonds. During the same period, some banks affiliated with mortgage institutions increased their share of bonds purchased from their affiliated mortgage institutions. Mortgage institutions are being urged to ensure they don’t become overly reliant on selling bonds to a single bank. Key Messages…

Danmarks Nationalbank has proposed five key points for financial institutions adopting artificial intelligence (AI) systems to optimize their operations. As AI gains traction in the financial sector, the central bank emphasizes the need for ongoing monitoring to prevent discrimination based on factors like race or gender. Failure to do so could lead to reputational damage…

The adoption of digital payment solutions by the Danish population has been substantial. Consequently, the majority of payments made by Danish citizens rely heavily on the proper functioning of digital payment platforms in businesses. In Denmark, a significant number of payment cards have the capability to be used even if the underlying payment system or…

In the fall of 2022, significant price fluctuations were observed in Danish mortgage bonds. During the same period, some banks affiliated with mortgage credit institutions increased their share of bond purchases from the affiliated mortgage credit institution. Mortgage credit institutions are now being advised to ensure they are not overly reliant on selling bonds to…

The latest seasonally adjusted data from Danmarks Statistik reveals a 0.8% decrease in Denmark’s overall export of goods and services in September 2023 compared to August. While goods export witnessed a 2.5% decline, service export showed a 1.9% increase. The year-on-year growth rate over the last 12 months dropped to 1.2%, reflecting a 10.7% rise…

Danish companies made the highest number of direct investments in the USA in 2022, marking the first time the United States has taken the lead, according to the latest data. While the USA has long been the country with the most direct investments in Denmark, this represents a significant shift in Danish corporate investment strategy.…

The investment landscape of Denmark’s insurance and pension companies reveals a noteworthy shift, with equity investments, both listed and unlisted, now constituting over 51% of their total investments. This marks a significant increase from 42% at the beginning of 2018. Several factors contribute to this surge, including higher returns on stocks compared to bonds during…

Denmark’s valuta reserve decreased in September 2023, settling at 605.8 billion kr., reflecting the state’s net repayment of foreign loans totaling 0.6 billion kr. The Nationalbanken chose not to intervene in the foreign exchange market during the month. In terms of liquidity, the state exhibited a net financing need of -14.5 billion kr. for September…

In July 2023, Denmark’s total exports saw a 0.3 percent increase compared to June. However, the annual growth rate, measured over the past 12 months compared to the preceding 12 months, decreased to 8.7 percent. According to the latest seasonally adjusted data from Statistics Denmark, the total export of goods and services in July 2023…

Since the beginning of 2015, Danish citizens have collectively contributed 1.148 billion DKK to domestic insurance and pension companies, fueling the growth of their pension savings. This amount surpasses the total pensions disbursed during the same period, leading to a positive net contribution to pension funds. The trend in contributions has been consistently upward, with…

Imagine your investments are like different buckets where you keep your money to grow over time. In Denmark, there are two main ways people manage these buckets when it comes to investing in the stock market. One way is called “active management.” It’s like having someone actively pick and choose where to put your money,…

Recent data reveals a noticeable reduction in the ordinary repayments made by Danish homeowners towards their mortgage debts secured by owner-occupied homes and vacation houses. An average repayment of DKK 10,131 per borrowed million was made during the first half of 2023. This amount marks a decrease of DKK 1,202 compared to the first half…

In the month of June 2023, Denmark experienced a 1.4% decline in its overall exports compared to May. The annual growth rate for the past 12 months versus the preceding 12 months was reduced to 12.8%. According to the latest seasonally adjusted data from Denmark’s Statistical Office, the total exports of goods and services dropped…

Udenrigsminister Lars Løkke Rasmussen met today with Chinese Foreign Minister Wang Yi in Beijing to launch a new Danish-Chinese work program with a focus on climate, energy, environment, and health. This new work program serves as an update to the agreement reached between Denmark and China in 2017. The updated program is more concentrated in…

Income Inequality in Inflation Rates in Denmark: A Closer Look at Consumption Patterns A recent analysis has shed light on the divergence in inflation rates between households with low and high incomes in Denmark. The variation in inflation rates can be attributed to the differences in consumption habits among households. Over the period from 1996…

Denmark’s insurance and pension sector experienced a positive return of DKK 92 billion in the first five months of this year. The upbeat performance can be attributed to gains across all asset classes, including stocks, bonds, and interest rate derivatives. In contrast, the sector incurred losses across all asset classes last year, resulting in a…

In a move reflecting changes in the broader economic landscape, Denmark’s National Bank has announced an increase in key interest rates, effective from July 28, 2023. The decision comes as the European Central Bank (ECB) raised its benchmark interest rate for deposit facility by 0.25 percentage points, maintaining the unchanged monetary policy interest rate spread.…

In the month of July 2023, Denmark’s currency reserve experienced a reduction of 2 billion Danish Kroner (DKK), bringing the total to 602.8 billion DKK. This decrease reflects two main factors: During July, the National Bank of Denmark did not conduct any interventions in the foreign exchange market. Liquidity Developments In terms of liquidity, the…

Denmark’s foreign exchange reserves experienced a rise in June 2023, increasing by DKK 1.4 billion to reach DKK 604.8 billion. The National Bank of Denmark conducted net currency purchases, while the state engaged in net borrowing in foreign currencies. The country’s retail investment market showed potential for improvement, with a focus on enhancing financial literacy…

In the National Bank’s lending survey for the 2nd quarter of 2023, credit managers in six out of the 20 surveyed banks and mortgage institutions reported that they expect tighter credit standards for business customers in the 3rd quarter of 2023. According to the credit managers, these anticipated tightening measures are primarily due to the…