On Aug. 26, 2004, Standard&Poor's Ratings Services affirmed its 'AAA' long-term and 'A-1+' short-term sovereign credit ratings on the Kingdom of Denmark, reflecting the country's strong track record of macroeconomic stability, underpinned by prudent fiscal management and structural reforms. The outlook is stable. The ratings on Denmark reflect that policymakers' longstanding commitment to fiscal discipline remains robust, supporting the sovereign's substantial fiscal flexibility. The general government is expected to continue posting significant fiscal surpluses, equivalent to 1%-2% of GDP in the medium-to-long term. Since its peak at 81% of GDP in 1993, the general government debt burden has fallen to an estimated 44% of GDP at year-end 2004, and is forecast to continue declining steadily in the medium
