Just a few years ago, Novo Nordisk was a name most people outside Denmark didn’t know.
Now, the pharmaceutical giant is not only Europe’s most valuable company but also the key reason Denmark’s economy avoided a recession in 2023.
Thanks to booming demand for its diabetes and weight-loss drugs, Ozempic and Wegovy, Novo Nordisk helped push the country’s economy into positive territory.
Without the pharma sector, Denmark’s economy would have shown no growth last year, according to Danske Bank, the country’s largest bank.
Drugs That Changed Everything
Ozempic and Wegovy contain semaglutide, an ingredient that helps regulate blood sugar and suppress appetite.
Both drugs have become global sensations, particularly in the U.S., where Wegovy costs over $1,000 per month.
More than 45 million people now use the company’s treatments.
In early 2025, Novo Nordisk reported its pre-tax profits jumped 22% to $17.8 billion.
According to Danske Bank, “It does not look like Novo Nordisk is slowing down.”
The economic impact is widespread. In 2023, half of Denmark’s 2.5% GDP growth came from the pharmaceutical sector.
For 2024, the government expects 3% growth, and Danske Bank projects 2.1%, more than double their earlier forecast.
Kalundborg: A Town Transformed
The biggest transformation is in Kalundborg, a town of fewer than 17,000 people. It’s home to Novo Nordisk’s massive production site, where half the world’s insulin is made and where semaglutide is produced.
Mayor Martin Damm calls it “the center of where the medicine starts.”
Novo Nordisk is pouring $8.6 billion into expanding its facilities there, adding 1,250 new jobs and drawing 3,000 construction workers.
Local businesses are booming, with one fast food outlet selling in just over a month.
“Every morning the owner needs to roast 30kg of pork to make sandwiches,” Damm said.
Kalundborg saw a stunning 27% economic growth in 2022.
The extra tax money from Novo Nordisk has helped pay for things like a new public swimming spot, a culture center, and a new road to Copenhagen.
Big Wins, Bigger Risks
But not everyone is feeling the benefits right away.
Some residents say traffic has worsened and local schools still struggle with basic subjects. Others worry Denmark is becoming too dependent on a single company.
“This is the largest ever,” said Las Olsen, chief economist at Danske Bank.
He added, “In a way Denmark is like the rest of Europe, but a little stronger. Then with Novo Nordisk on top, we’re a lot stronger.”
Economists also warn about potential political risks. U.S. President Donald Trump has threatened tariffs on Danish goods over tensions with Greenland.
Prime Minister Mette Frederiksen acknowledged the concern, saying, “It has been hinted at from the U.S. side that there may unfortunately be a situation where we work less together than we do today.”
Novo Nordisk CEO Lars Frugård Jørgensen responded to concerns, saying the company is “not immune” to tariffs but is well-prepared.
A Town and Country Looking Ahead
To help prepare for the future, the Novo Nordisk Foundation is investing heavily in education and research. In Kalundborg, a new life sciences campus is training the next generation of biotech workers.
“In five years, it’ll be totally different here — in a good way,” said Shaun Gamble, a local coffee shop owner.
If current trends continue, Denmark’s economy will keep riding high, thanks in large part to a pair of injections that reshaped the country.