Denmark's central bank Nationalbank announced to decrease its lending rate and the rate of interest on certificates by 0.75 percentage point to 4.25 per cent, emulating a cut by the European Central Bank.

The discount rate and the interest rate on the banks' current accounts with the Nationalbank are lowered by 0.5 per cent to 3.5 per cent. This will come into effect from 5 December 5, 2008, the Nationalbank said in a statement.

The Nationalbank said the decision was a consequence of the ECB's lowering of its rate to 2.5 percent from 3.25 per cent.

Denmark is one of the European Union member, but not part of the 15-country euro zone. The Nationalbank always follows the European Central Bank to raise or decrease its key rates.