Denmark’s Convergence Programme 2022

The Convergence Programme contains a medium to long term projection of the Danish Economy based on the business cycle assessment for 2022 and 2023 presented in Economic Survey, May 2022. It shows a more positive development in the public finances than in the latest assessment in August 2021. The fiscal sustainability indicator amounts to 1.4 per cent of GDP relative to the previous estimate of 1.1 per cent of GDP. This implies that the current economic policy can carry through to the long term without unsustainable increases in public debt. In fact, the projection in the Convergence Programme shows consistent positive public net wealth – even in the years with the strongest demographic resistance. This is due, in part, to a projected increase in the structural employment of roughly 40,000 persons toward 2030.