Statement by the Staff Representative on Denmark June 21, 2019

The solid performance of the economy continues to be supported by domestic demand and labor market pressures are gradually building.

Abstract

The solid performance of the economy continues to be supported by domestic demand and labor market pressures are gradually building.

This statement provides information that has become available since the issuance of the staff report. The information does not alter the thrust of the staff appraisal.

Parliamentary elections were held in Denmark on June 5, 2019, leading to a likely change in government. Ms. Mette Frederiksen, the leader of the main opposition party, the Social Democrats, has been appointed to lead the negotiations to form a new government. While in preparation of the Staff Report for the 2019 Article IV Consultation, staff held discussions with the outgoing government; at this stage, the information that has become available does not alter the thrust of the staff appraisal.