Denmark Hikes Rate to End World’s First Subzero Experiment
- Central bank raised its benchmark to 0.65% after ECB hike
- Denmark has had negative rates longer than any other country
Pedestrians walk along a shopping street in Copenhagen, Denmark.
Photographer: Carsten Snejbjerg/BloombergThis article is for subscribers only.
Denmark ended the world’s longest experiment with negative borrowing costs by raising its benchmark rate following a hike by the European Central Bank.
Policy makers in Copenhagen, whose primary task is protecting the krone’s peg to the euro, increased their current account rate to 0.65% from minus 0.1%, according to a statement on Thursday.