Nordic Economies Economic Outlook
The Nordics economy should expand at the fastest pace in three years in 2025. External demand should rise, and tax cuts across most of the region, lower mortgage rates plus rising real wages should aid domestic demand. Still, rising global tariffs should keep activity weak by pre-Covid standards. Investor sentiment, housing prices and U.S. tariff policy are risks.
Nordic Economies Inflation
In April, inflation rose in Finland and Iceland, was unchanged in Denmark and Sweden, and fell in Norway. In 2025, healthier household budgets will fan inflation in Denmark and Finland, and lift it above target in Sweden. In Norway and Iceland, inflation will ease on high interest rates but remain above target. U.S. tariffs are key to track.
This chart displays Economic Growth (Real GDP, ann. var. %) for Nordic Economies from 2010 to 2024.
| 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|
| GDP per Capita (USD) | 57,641 | 56,788 | 67,483 | 67,725 | 64,218 |
| Economic Growth (Real GDP, ann. var. %) | 1.8 | -2.1 | 4.9 | 2.0 | 0.6 |
| Private Consumption (ann. var. %) | 1.0 | -3.5 | 5.4 | 3.1 | -0.5 |
| Fixed Investment (ann. var. %) | 2.0 | 0.4 | 5.0 | 1.2 | -3.0 |
| Industrial Production (ann. var. %) | 0.6 | -1.9 | 5.8 | 3.8 | 1.7 |
| Unemployment (% of active population, aop) | 5.3 | 6.6 | 6.3 | 4.9 | 5.3 |
| Fiscal Balance (% of GDP) | 2.6 | -2.7 | 3.1 | 9.0 | 4.4 |
| Public Debt (% of GDP) | 42.9 | 49.4 | 45.1 | 41.2 | 43.6 |
| Inflation (CPI, ann. var. %, aop) | 1.6 | 0.7 | 2.5 | 7.2 | 5.9 |
| Policy Interest Rate (%, eop) | 0.06 | -0.23 | -0.08 | 2.34 | 4.04 |
| Current Account Balance (% of GDP) | 4.5 | - | - | - | - |
| Merchandise Exports (USD bn) | 198 | 191 | 229 | 248 | 256 |
| Merchandise Imports (USD bn) | 179 | 170 | 216 | 241 | 219 |
| International Reserves (USD bn) | 134 | 145 | 161 | 177 | 188 |