'Danes are richer than Swedes and Germans'
The Local Denmark - [email protected]
Published: 4 Jul, 2014 CET.
Updated: Fri 4 Jul 2014 09:40 CET
Denmark's record levels of personal debt are well-known, but a new analysis shows that average net worth is increasing while debt levels stabalise. That puts the nation in a better position than its neighbours, the national mortgage banks association argues.
Danish households have the highest level of personal debt in the world, according to OECD figures. But a new analysis from the Association of Danish Mortgage Banks (Realkreditrådet) shows that a typical Dane’s net worth far exceeds their debt. The analysis states that a typical Danish household has a net worth of 2.4 million kroner ($438,000), which according to the association is three times as high as the average personal debt. “There is a lot of talk about Danes’ debt, but their assets are much bigger,” Peter Jayaswal, the deputy director of the mortgage bank association, told Ritzau news agency. “Numerous analyses from the National Bank and the business ministry show that Danes have large net worths and a robust personal economy.” According to the OECD, Danish households have debt equal to 321 percent of their disposable incomes, the highest ratio in the world. But Jayaswal said that despite that, Danes are actually much better off financially than their neighbours. “Seen internationally, Danes are also very wealthy and we are richer than both the Swedes and the Germans,” he said. Danes’ property assets account for the largest part of their overall net worth. Around 41 percent of the cumulative national wealth is in bricks and mortar. The analysis also shows that the average net worth rose by 90,000 kroner ($16,420) in 2013. “Danes’ debt, on the other hand, for the most part did not increase,” Jayaswal said.
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Danish households have the highest level of personal debt in the world, according to OECD figures. But a new analysis from the Association of Danish Mortgage Banks (Realkreditrådet) shows that a typical Dane’s net worth far exceeds their debt.
The analysis states that a typical Danish household has a net worth of 2.4 million kroner ($438,000), which according to the association is three times as high as the average personal debt.
“There is a lot of talk about Danes’ debt, but their assets are much bigger,” Peter Jayaswal, the deputy director of the mortgage bank association, told Ritzau news agency. “Numerous analyses from the National Bank and the business ministry show that Danes have large net worths and a robust personal economy.”
According to the OECD, Danish households have debt equal to 321 percent of their disposable incomes, the highest ratio in the world. But Jayaswal said that despite that, Danes are actually much better off financially than their neighbours.
“Seen internationally, Danes are also very wealthy and we are richer than both the Swedes and the Germans,” he said.
Danes’ property assets account for the largest part of their overall net worth. Around 41 percent of the cumulative national wealth is in bricks and mortar.
The analysis also shows that the average net worth rose by 90,000 kroner ($16,420) in 2013.
“Danes’ debt, on the other hand, for the most part did not increase,” Jayaswal said.
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