Denmark’s economy unexpectedly grew last quarter after companies stepped up investments, offsetting a decline in household spending and exports.
Gross domestic product expanded 0.5 percent from the previous three-month period, the Danish statistics office said today in a statement. Economists surveyed by Bloomberg had foreseen a 0.1 percent decline from the second quarter. GDP grew 0.9 percent from a year earlier.
Denmark’s government has said there’s no more room in the budget to stimulate the $300 billion economy as households spend less and exporters struggle to adapt to lackluster demand in the rest of Europe. Denmark exports about half its output. The central bank uses policy to keep the krone pegged to the euro, leaving it no leeway to adjust rates to steer demand.
Household spending dropped 0.6 percent in the third quarter from the second while exports declined 0.2 percent, the office said today. Fixed investments rose 1.2 percent after increasing 1 percent in the second quarter.