COPENHAGEN, June 14 (Reuters) - Denmark’s central bank on kept its forecasts for economic growth in 2012 to 2014 steady on Thursday and said low interest rates could fuel a faster-than-expected recovery in private consumption.
The Nationalbank reiterated that it saw gross domestic product (GDP) growth of 1.2 percent this year, and growth picking up to 1.6 percent and 1.7 percent in 2013 and 2014 respectively.
The figures are from the Nationalbank’s new quarterly review of monetary conditions and the economy.
“Experience from earlier economic cycles has shown that confidence can quickly return,” central bank Chief Nils Bernstein said in a statement with the report, referring to the effect of low interest rates.
“This can mean that the rise in private consumption and private investments can come back faster and be stronger than forecast,” Bernstein said. (Reporting by Mette Fraende)