Dutch bank upbeat on ECB recovery

The Dutch Bank (DNB) published its annual report today, revealing the bank managed to decrease her balance with 40 percent, to €159 billion. The numbers indicate a significant improvement of the financial condition of the banks in troubled countries.

If the improvement continues with the same pace, the claims of the DNB with the European Central Bank (ECB) may reach the same level as before the crisis in the course of this year. Klaas Knot, DNB president, pleads for a return to the 'Zalm norm', now that the economy is once again on the rise. The norm, named after former minister Gerrit Zalm, dictates a government doesn't immediately need to counteract a budget deficit with cuts, while a surplus is used to payoff the government debt. The norm could even be introduced Europe-wide, according to Knot. One setback for DNB is the value of the gold supply, which dropped from €25 billion to €17 billion in the past year.