Large risks remain
So far, Nordic economies seem to perform along the lines – or better – than what Danske Bank in March considered a ‘best case scenario’. But large risks persists.
Global developments have been much more severe and the economic damage and losses in Europa and many emerging markets will question the strength of a Nordic rebound. Danske Bank’s economists are more optimistic than others, but cautiously so.
“We expect economies outside the Nordics to recover most of the losses from the lockdowns relatively quickly, although it will be years before they recover fully. But we also warn that there is significant risk that we are wrong, or that a second wave of infections will cause a renewed crisis,” says Las Olsen.