Solid growth for Denmark expected despite emergence of Omicron variant
Downward revisions to Q2 and Q3 GDP figures and concerns about the spread of the Omicron coronavirus variant have led us to lower our 2022 GDP growth forecast to 3.1% from 3.3% previously.
What you will learn:
- We see activity picking up from Q2 2022 under the expectation that supply chain issues will have begun to subside and the vaccine booster programme will have brought the pandemic back under control.
- We don’t think Denmark will be as adversely affected as other European economies, but it could feel the pinch from softer external demand and consumer uncertainty.
- Growth in 2021 is now forecast at 3.8%.
BoK’s monetary policy to tighten even as hiking cycle ends
Even without rate hikes, central banks' monetary policies can effectively tighten if the nominal neutral rate falls below the policy rate. We expect this will be the case for the Bank of Korea this year, as the gap between the policy rate and the nominal neutral rate widens.Find Out More
China: Emerging green shoots in Spring, but not out of the woods
We now incorporate a faster recovery from the post-Covid exit wave and raise our 2023 full-year GDP growth forecast to 4.5% (from 4.2% previously).Find Out More