Why does EIFO's CEO believe Arctic tourism in Greenland will yield faster economic returns than mining?

According to Peder Lundquist, CEO of Denmark's export credit agency EIFO, tourism offers a 'faster path to local value creation' compared to raw materials extraction, which delivers 'long-term and solid value creation, but... over decades.' Tourism projects—such as expanding capacity around Ilulissat and Disko Bay—are already advancing with feasibility studies and infrastructure planning, whereas large-scale mining remains hindered by Greenland’s strict environmental standards and lack of commercial viability without public-sector guarantees like minimum price supports.

What conditions does EIFO's CEO say are necessary for large-scale mining to become viable in Greenland?

Lundquist states that large-scale mining in Greenland is not commercially viable without 'political backing of some kind,' such as minimum price guarantees for extracted materials—potentially provided by the EU or the Danish government—due to both Greenland’s high environmental standards and the scarcity of Arctic mining equipment and infrastructure.

Trump's Greenland Ambitions Spur Investment; Tourism Expected to Yield Faster Returns Than Mining

May 13, 2026

Following Trump's renewed interest in Greenland, investment has surged, though officials note tourism yields returns faster than mineral mining. Critical projects like GreenRoc graphite remain key to EU supply security despite environmental hurdles.

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