IMF Concludes 2026 Article IV Mission to Denmark, Citing Strong Pharmaceutical Exports and Upside Inflation Risks

The International Monetary Fund (IMF) staff concluded its 2026 Article IV Mission to Denmark, projecting output growth to strengthen to 3.7 percent in 2026, primarily driven by robust pharmaceutical exports. Inflation, after falling below 1 percent earlier in 2026 due to electricity tax cuts, is expected to rise slightly above 2 percent by year-end, influenced by higher energy and services prices. The IMF noted that risks to growth are tilted to the downside, while inflation risks are tilted to the upside, largely due to geopolitical tensions and potential energy price increases.