Demand shortage is industrial brake

The industry identifies a lack of demand as the current biggest obstacle to production, according to Denmark’s Statistical Bureau’s economic survey published Wednesday. 35% of industrial companies report that their production is limited by a demand shortfall, while 24% cite material/equipment shortages, and 12% mention a lack of workforce. Chief Economist Jeppe Juul Borre from Arbejdernes Landsbank notes the increasing concern regarding demand shortages but remains generally optimistic about future business expectations. Business confidence, despite massive price pressures and rising interest rates, is stabilizing. July’s business confidence indicator was slightly down to 105.3 from June’s 106.0 but has been positive over the past 18 months. Senior Economist Mathias Dollerup from Sydbank sees cautious optimism in the business sector, with lower interest rates and inflation slowly coming under control.