Economic Survey, August 2021
The Danish economy is currently growing at a brisk pace following the reopening of society after the winter wave of infection. The rapid gains entails that activity and employment now exceed the level before the outbreak of the corona pandemic. Activity has thus returned faster than expected, and given the downturn in the spring of 2020, the economy has recovered extremely quickly. The economic improvement is supported by the vaccine rollout and continued control of the epidemic, as well as the significant economic policy support over the past year and a half, in Denmark and abroad.
Given the marked progress, the Danish economy is on the way back to an economic boom, even though some industries remain affected by the corona pandemic. Currently, many companies are reporting labour shortages. This is partly due to an extraordinarily high recruitment need with the reopening of the economy. At the same time, there is still a significant number of persons employed in corona-related jobs in both the private and public sectors. This employment is a labour reserve, which will become available as more persons are vaccinated resulting in a lower need for tests etc.