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The “War in Ukraine” effect

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The government prepared three scenarios for the future of the Danish economy as a result of the Russian invasion in Ukraine. 

  • Intermediate scenario: Less growth in export markets / Higher energy prices. Inflation will rise by 2,5% and the economic growth will be limited to 1,6%.
  • Harsh scenario: The conflict escalates / the Russian gas supply is stopped. Inflation will rise by 3,5% and there will be no economic growth this year. 
  • Mild scenario: Sanctions against Russia remain the same / The energy prices start to stabilize. Economic growth will be 2,2%. 
Narcis George Matache
Narcis George Matachehttp://www.narcis.dk
Executive Editor and Founder of "Last Week in Denmark".

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