Denmark
Measures taken in response to coronavirus (COVID-19) pandemic
Adoption date |
Type of measure |
Beneficiaries' sector specification |
Description of measure |
10/03/2020 |
Tax deferrals |
Non-financial corporations |
Payment of VAT for large corporates can be postponed; Payments of taxes deducted from income at source, and labour market contributions can be postponed by both large and small and medium sized companies. |
12/03/2020 |
Public guarantees |
Non-financial corporations |
State guarantee of 80 per cent of value of new bankloans experiencing a fall in profits of at least 50 per cent. |
12/03/2020 |
Direct grants |
Non-financial corporations |
Salary compensations for employees on sick leave related to Corona-virus quarantine. |
15/03/2020 |
Direct grants |
Non-financial corporations |
Government compensates employers for between 75 and 90 pct of monthly salary. |
16/03/2020 |
Tax deferrals |
Non-financial corporations |
Payment of VAT and income tax has been postponed for all businesses |
19/03/2020 |
Direct grants |
Non-financial corporations |
Government compensates fixed costs (between 25 and 80 per cent of costs) covering companies with a big drop in turnover as result of Covid-19. Fixed costs for companies enforced to temporarily close are fully covered. |
19/03/2020 |
Public guarantees |
Non-financial corporations |
Increase in government guaranteed loan schemes: For large corporates, guarantee scheme is expanded to 25 bn DKK; for small and medium sized companies, guarantee scheme is expanded to 17,5 bn DKK |
19/03/2020 |
Other measures of fiscal nature |
Households |
Increased access to unemployment benefits and student loan schemes |
19/03/2020 |
Direct grants |
Non-financial corporations |
Increased credit lines through the Danish Export Fund (EKF) for small and medium sized enterprizes |
19/03/2020 |
Public guarantees |
Non-financial corporations |
Increase in guarantees through the Travel guarantee fund |
20/03/2020 |
Other measures of fiscal nature |
Other |
Public sector: Advance/move forward planned public investments by removing construction budget caps for regions and municipalities. Estimated value is at around 10 bn DKK |
11/06/2020 |
Equity participation |
Non-financial corporations |
Based on a number of criteria, the fund will provide direct equity support for larger companies (recapitalisation). |
09/04/2020 |
Other measures of fiscal nature |
Non-financial corporations |
Payout of already paid VAT for second half or fourth quarter of 2019 for small and medium sized enterprises in the form of a loan with interest rate = 0. |
09/03/2020 |
Direct grants |
Households |
Compensation of self-employed and freelancers income (up to 90 per cent) if they experience a drop in income by 30 per cent. |
18/04/2020 |
Equity participation |
Non-financial corporations |
Support companies through direct equity praticipation or via funds |
18/04/2020 |
Public guarantees |
Non-financial corporations |
Match financing guarantees through Vækstfonden of up to 80 per cent of a loan (1:3); other financing in the form of private investors or private equity is still required |
31/08/2020 |
Other measures of fiscal nature |
Non-financial corporations |
Easing of access to supplementary unemployment benefits. Employees can split full-time positions while recieving supplementary unemployement benefits at favourable terms. |
10/12/2020 |
Direct grants |
Non-financial corporations |
Government compensates employers for between 75 and 90 pct of monthly salary. |
10/12/2020 |
Direct grants |
Non-financial corporations |
Government compensates fixed costs (between 25 and 80 per cent of costs) covering companies with a big drop in turnover as result of Covid-19. Fixed costs for companies enforced to temporarily close are fully covered. |
10/12/2020 |
Direct grants |
Households |
Compensation of self-employed and freelancers income (up to 90 per cent) if they experience a drop in income by 30 per cent. |
09/12/2021 |
Direct grants |
Non-financial corporations |
Government compensates fixed costs (between 25 and 80 per cent of costs) covering companies with a drop in turnover of at least 30 percent as a result of Covid-19. Fixed costs for companies enforced to temporarily close are fully covered. |
09/12/2021 |
Direct grants |
Households |
Compensation of self-employed and freelancers income (up to 90 per cent) if they experience a drop in income by 30 per cent. |
09/12/2021 |
Public guarantees |
Non-financial corporations |
Increase in government guaranteed loan schemes: For large corporates, guarantee scheme is expanded to 25 bn DKK; for small and medium sized companies, guarantee scheme is expanded to 17,5 bn DKK |
12/03/2020 |
CCyB |
Banking sector |
Release of the countercyclical buffer from 1,0% to 0,0%, and cancellation of already announced increases to 2,0 % |
12/03/2020 |
Lending standards |
Banking sector |
The DFSA will temporarily dispense from the requirement that properties serving as collateral for covered-bonds are internally inspected by the mortgages credit institution |
17/03/2020 |
Reporting requirements |
All financial sectors |
Executive orders give the DFSA, as well as other agenecies, the power to dispense from reporting requirements for companies under supervision |
18/03/2020 |
Reporting requirements |
Insurance sector |
The DFSA will require insurance companies to report SCR on a weekly basis |
19/03/2020 |
Lending standards |
Banking sector |
The DFSA will allow banks to dispense from usual lending procedures, when providing reasonable additional liquidity for a short temporary period to households and corporations with sound credit standings. For vunerable and week customers banks will have to perform case-by-case assessments as usual. |
20/03/2020 |
Reporting requirements |
All financial sectors |
The DFSA will allow financial companies to apply for an extension of the requirement to send annual reports, approved at the general meeting of shareholders, to the DFSA |
24/03/2020 |
Other measure |
All financial sectors |
The DFSA will temporarily dispense from the requirement that new board-members of financial companies undergo a training course within 12 months of appointment |
12/03/2020 |
Credit facilities |
Banking sector |
1-week loans against collateral with an interest rate of -0.50 per cent. |
19/03/2020 |
Swap lines |
Banking sector |
Bilateral swap agreement between the Federal Reserve and Danmarks Nationalbank amounts to 30 billion dollar |
19/03/2020 |
Credit facilities |
Banking sector |
3-month loans against collateral at variable interest rate following 1-week loans. |
20/03/2020 |
Swap lines |
Banking sector |
EUR Swap line with ECB reactivated; Size of swap line was increased from €12 billion to €24 billion. |