COUNTRY STATISTICS^†

Official name of the country: Kingdom of Denmark

Status within the European Union: Member state of the European Union. Not a member of the European Monetary Union (the Euro).

Area: 43,094 square kilometers. This total does not include Greenland and the Faroe Islands, which are self-governing members of the Kingdom of Denmark.

Population (2001 census from www.dst.dk): 5.35 million

Major cities (2001 census from www.dst.dk):

• Copenhagen (the capital city) — pop. 499,000
• Århus — pop. 218,000
• Odense — pop. 145,000
• Aalborg — pop. 120,000

Language: Danish (English is a very common second language).

Time zones: Denmark is in the Central European Time Zone, one hour ahead of GMT. Summer time runs from late March to late October.

Map:

Flag: The Danish "Dannebrog" is red with a white cross that extends to the edges of the flag. The vertical part of the cross lies on the "hoist" side. This element was later adopted into the flags of Finland, Iceland, Norway, and Sweden.

POLITICAL ORGANIZATION^†

Head of state: Queen Margrethe II. For further information on the royal house and the monarchy, go to http://www.un.dk/english/danmark/danmarksbog/kap1/1-1.asp.

Head of government: Anders Fogh Rasmussen, prime minister, a member of Venstre (the Liberals) and head of a center-right coalition.

National elections: Last held in November 2001; next elections to be held no later than November 2005. All Danish nationals aged 18 or older are permitted to vote.

Political organization of Denmark: Denmark is a decentralized unitary state. There are three tiers of government in Denmark: central, provincial, and municipal. The provinces and municipalities are tiers of local government. The country is divided into 14 provinces. Provincial authorities are responsible for health care, social affairs, education, nature and environmental protection, mass transit and roads, cultural affairs, and trade promotion. Each provincial authority consists of a provincial council and a provincial executive.

There are also 271 municipalities in Denmark; however, their number may fall as smaller municipalities combine or consolidate with larger ones. Municipal authorities are responsible for traffic, public-authority schools, kindergartens, welfare and social services, care and housing for the elderly, sport, recreation, and culture.

National legislature: A unicameral parliament (Folketinget) is composed of 179 members elected by direct universal suffrage on a special (and complex) system of proportional representation. These include two members each from Greenland and the Faroe Islands.

For further information, see the following Web sites: http://www.ft.dk and http:/www.denmarkemb.org/politics.html/

Political parties: There are currently two main political parties in Denmark: the V (Venstre) and the S (Socialdemokratiet).The V, founded in 1870, is a conservative party that stands for traditional Liberal principles. The S was formed in 1871 and is a center-left social democratic party. There are, however, six other smaller parties currently represented in Parliament. They are: the center-right Conservative Party (K), which has formed a coalition government with Venstre; the centrist Radical Left Party (RV); the Socialist People's Party (SF); the right-wing and anti-immigration Danish People's Party (DF); the Christian People's Party (KF); and the left-wing Unity Party (EL).

NATIONAL HOLIDAYS (2003)^†

ECONOMIC INFORMATION (2001)^†

Economic growth rate (real GDP growth, annual percentage change): Approximately 1.3 percent.

Unemployment rate: Approximately 5.4 percent.

Inflation rate (CPI): Approximately 3.0 percent.

Value added tax rate: 25 percent (standard rate).

Currency: Krone (DKK)

• Euro 1 = DKK 7.4289
• DKK 1 = USD 0.1349
• Euro 1 = USD 1.01.

MISCELLANEOUS EXPATRIATE INFORMATION^†

KPMG's "Planning Your International Secondment — Coming to Denmark":
http://www.us.kpmg.com/microsite/Global_IES/PYIS/PY_DenmC.pdf

KPMG's "Taxation of International Executives":
http://www.us.kpmg.com/microsite/Global_IES/TIES/ies_denm.pdf

For information on immigration and naturalization: Go to http://www.udlst.dk

For additional country information:

• See the CIA Factbook on Denmark at
  http://www.odci.gov/cia/publications/factbook/index.html
• See the Danish Royal Embassy in the United States Web site at:
  http://www.denmarkemb.org.
• See the Danish Foreign Affairs Ministry's Web site at
  http://www.denmark.dk/servlet/page?_pageid=80
  &_dad=portal30&_schema=PORTAL30&_fsiteid=175&_fid=113785&page
  _id=1&_feditor=0&folder.p_show_id=113785
• For more statistics on Denmark, see http://www.dst.dk.

(KPMG is not responsible for the content of non-KPMG Web sites.)

Driving in Denmark: A driver's license issued from a Nordic or European Union (EU) country is valid in Denmark. Any other license, however, must be exchanged for a Danish license within two weeks of an individual being assigned a Danish CPR-number. The foreign license is held on deposit at the local Danish office of motor vehicles, and will be returned when the individual leaves Denmark. It is illegal in Denmark to simultaneously possess two valid driver's licenses.

Footnotes:

^†This information, plus additional country information, can be found at the following Web site: http://www.denmarkemb.org

Special thanks to Michael Thomsen of KPMG in Denmark for his contributions to this article.

The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation.