Denmark Raises Economic Growth Outlook

COPENHAGEN (Reuters) – Denmark has raised its economic growth outlook due to the expansion of its pharmaceutical industry, notably weight-loss drug maker Novo Nordisk (NYSE:NVO), according to the Danish economy ministry on Thursday.

Revised GDP Projections

The GDP growth for 2024 is now anticipated to be 3.0%, an increase from 1.9% estimated in August. The forecast for 2025 has also been raised to 2.9%, up from 2.2%.

The ministry stated, "Especially the pharmaceutical industry's production and exports are fueling growth."

Contribution of Novo Nordisk

Denmark, with a population of 6 million, has experienced significant growth attributed to Novo Nordisk, the producer of the Wegovy weight-loss drug and Ozempic diabetes treatment. This growth comes at a time when much of Europe is facing slow growth or stagnation.

Approximately one-fifth of Denmark's employment growth is linked to increased staffing at Novo Nordisk, which currently employs around 30,000 people, as per the economy ministry.

Economy minister Stephanie Lose emphasized, "Although Novo Nordisk is of great and increasing importance to the Danish economy, we don't envision a scenario where it's so extensive that it (growth) all comes down to Novo Nordisk."

The ministry also forecasted GDP growth to ease to 1.7% in 2026.