Although we are only a few days from Christmas, the weather in Scandinavia is still quite warm for the season. The Nordic countries seem to have been less damaged by COVID-19 lockdowns than many other European countries. Hopefully, a vaccine will soon be ready for distribution so that everyone can resume their normal lives.
For the non-ferrous business, there is increasing demand for red metals and aluminium, with rising LME prices pulling extra material into the market.
Since April, the Danish economy has seen a quick but still incomplete recovery. Lockdowns and restrictions are keeping a lid on private consumption and corporate investments are also running at a slower pace. Danish real estate values have increased significantly, with house and apartment prices now higher than they were before the pandemic. COVID-19 government support packages have been used much less than anticipated.
In Sweden, the economy is expected to rebound once COVID-19 releases its grip on the country. It is anticipated that the unemployment rate will peak at the end of 2020 ahead of a gradual recovery during 2021. Private consumption is expected to have decreased by around 5% this year.
The Norwegian housing market looks strong. Like Denmark, house and apartment prices have seen significant growth and are now ahead of pre-COVID levels. Norway’s GDP is projected to decrease by 2% in 2020, to be followed by a strong recovery in 2021.
COVID-19 lockdowns have hit the Finnish economy less hard than most other European countries. Most people laid off from their jobs have now returned to work, but unemployment rates are increasing. The real estate market seems to be running at a slower pace than in the rest of Scandinavia.
Mogens Bach Christensen
H.J.Hansen Genvindingsindustri A/S (DNK), Board Member of the BIR Non-Ferrous Metals Division
Country
Nordic Countries
