Danish Q2 GDP Growth Revised Lower

Denmark’s economy expanded by 2.2% quarter-on-quarter in the third quarter of 2025, lower by 0.1 percentage points than initial estimate, but accelerating from an upwardly revised 1.3% growth in the previous period. This marked the fastest expansion since the fourth quarter of 2021, primarily driven by strong performance in the pharmaceutical industry. Other contributors to GDP growth include the information and communication industry and public administration and services. Net external demand also contributed positively, as exports increased (3.5% vs 4% in Q2), while imports decreased (-0.1% vs 2.7%). Additionally, both government (1% vs 0.5%) and household spending (0.3% vs 0.2%) rose further, while fixed investments rebounded (0.8% vs -0.2%), as housing (2.9% vs -1.5%) and intellectual rights (2.5% vs -2.8%) recovered. Annually, the GDP grew by 4% in Q3, the strongest in three quarters, following a 2% gain in the preceding quarter.

Denmark’s economy grew by 2.3% quarter-on-quarter in the third quarter of 2025, accelerating from an upwardly revised 1.2% expansion in the previous period, according to preliminary estimates. This marked the strongest growth since the fourth quarter of 2021, primarily driven by significant gains in industry, with the pharmaceutical sector leading the way. Strong performance in pharmaceuticals also supported net external demand, as exports rose 4.1% (vs 3.8% in Q2) while imports fell 0.2% (vs 2.5%). Additionally, government spending rose by 0.9% (vs 0.4%), while fixed investment increased modestly (0.1% vs 0%), supported by recoveries in investment in housing (1.9% vs -1.5%) and intellectual rights (0.3% vs -2.5%). Meanwhile, household consumption remained steady (at 0.1%). On a yearly basis, the GDP expanded by 3.9%, the largest growth for the year, following an upwardly revised 2% gain in the preceding period.

Denmark’s economy grew by 1% quarter-on-quarter in the second quarter of 2025, lower by 0.3 percentage points than initial estimate, but recovering from a 1.3% contraction in the previous period. The growth was largely driven by strong performances in the pharmaceutical industry, public production and business services. Net external demand also contributed positively to the GDP, as exports rose (3.7% vs -4.5% in Q1) more than imports (3.4% vs -6.1%). Additionally, government spending rebounded (0.4% vs -1.9%), as well as fixed investments (0.9% vs -9.1%), supported by increases in investment in other construction and engineering (3.1% vs -0.5%) and machinery, means of transport, etc. (4.2% vs -8.7%). In contrast, household spending slowed down (0.2% vs 0.8%). On an annual basis, the GDP expanded by 1.6% in Q2, the softest growth since the first quarter of 2024, easing from a downwardly revised 2.4% rise in the previous quarter.