Danish households are the richest in the European Union, according to an analysis of data from the country’s central bank.
The average household in Denmark had 1.88 million Danish kroner ($ 300,000) in financial assets in the fourth quarter of 2020.
The data, released on Wednesday, was taken from the European Central Bank’s disclosure of the financial accounts of the 27 EU member states.
The figures showed that the Danes also had higher debts, at 560,000 Danish crowns, only beaten by Luxembourg, where people generally had 660,000 Danish crowns in liabilities.
However, the Danmarks Nationalbank pointed out that the majority of the Danes’ debts were bank and mortgage debts “with real estate guarantees (around 86%)”.
“Thus, the debt of the Danes is largely offset by the value of real estate wealth, which is not included in financial wealth,” said the central bank.
Overall, Danes had a net financial wealth of 1.32 million Danish kroner, almost three times the EU average of 450,000 Danish kroner.
Denmark’s central bank also pointed out that while this wealth was average, there was a significant difference between individuals.
For example, the central bank said that Danes with the highest incomes tended to have the most assets and liabilities, while older people tended to have higher pensions.
Central bank analysis showed that Danes’ wealth increased further in the first quarter of this year, reaching an average of 24,000 Danish kroner per person.
Dutch households had the second highest amount of financial assets, with DKK 1.58 million, followed by Luxembourg (DKK 1.59 million) and Sweden (DKK 1.51).
Meanwhile, Romanian households turned out to be the poorest in the EU, with only DKK 80,000 in financial assets.