Denmark's economy grew faster than expected, driven by a surge in pharmaceutical production led by Novo Nordisk (NVO, Financial). Statistics Denmark reported a 1.1% rise in GDP for the second quarter, up from the previously estimated 0.6% in August.
In recent years, Denmark's flourishing pharmaceutical industry has been a key driver of its economic growth. Notable contributions include Novo Nordisk's weight-loss drug and Bavarian Nordic's monkeypox vaccine. Last year, pharmaceuticals accounted for half of Denmark's economic expansion, making it one of the fastest-growing economies in Western Europe.
The revised data suggests that the annual growth outlook will be adjusted upwards. Strong growth in the autumn could even surpass the rates seen in 2022 and 2023. According to Arbejdernes Landsbank's Chief Economist Jeppe Juul Borre, GDP growth in 2024 could "easily" exceed 2% and potentially approach 3%.
The second quarter saw a 3.9% increase in exports, with multiple industries contributing to the rise in goods trade, and Denmark's shipping industry enhancing service exports.
