Denmark - a globalisation leader

A UN analysis indicates the nation's investment-economy ratio is in the elite internationally.

The UN's latest annual World Investment Report lists Denmark as having one of the world's most developed and effective global economies. The report, which measures investments to and from foreign countries in relation to the size of the national economy, ranked Denmark 12th best.

Bent Petersen, professor of international business at Copenhagen Business School (CBS), said the reason for high ranking is simple. 'Denmark became significantly more global through the 1990's, as Danish businesses invested more in foreign countries and foreign businesses more in us,' he said.

Petersen, along with CBS colleagues Torben Pedersen and Michael Wendelboe, were given the task of interpreting and launching the UN report within Denmark. Prior to this period, Denmark was one of the worst countries at exploiting globalisation possibilities. Petersen and his associates said advancements in technology made it easier for a small country like Denmark to compete on an international scale.

Danish foreign investments made up 49 percent of its GDP in 2004, compared to a mere 5.5 percent in 1990. Likewise, foreign investments in Denmark made up 39.1 percent of GDP in 2004, compared to 6.9 percent in 1990.

Copenhagen Post