COPENHAGEN: The Denmark’s recovers as its gross domestic product in the fourth quarter expanded 0.5 % from the previous three months, the statistics shows. The data showed output growth of% 0.4 and the economy grew 1.5 percent from a year earlier, also better than the 1.3 percent first estimated.
A combination of low interest rates, a falling euro and cheaper oil is helping Scandinavia’s weakest economy recover faster than the central bank and the government have previously expected. Danes have benefited from record-low borrowing costs as the central bank defends the krone’s peg to the euro. Governor Lars Rohde’s effort to prevent krone gains has driven the benchmark deposit rate down to minus 0.75 percent. Household spending rose 1.1 percent in the quarter and 1.9 percent for the year, the largest annual gain since 2008. Investments increased 2.5 percent as construction picked up. Imports and exports both declined.
