Skip to main content
Home

Main navigation

  • Top stories
  • Health
  • Crime
  • Politics
  • Business
  • Tech
  • Culture
  • Sports
  • Weird
  • 1-1-2
Image
Klaas Knot
Business
DNB
economy
Europe
finance
Interest Rates
International Monetary Fund
Klaas Knot
monetary policy
quantitative easing
recovery
spending
wages
Monday, 20 April 2015 - 15:09
Share this:
  • facebook
  • twitter
  • linkedin
  • whatsapp
  • reddit

Higher wages, lower taxes will drive economy: Dutch Central Bank chief

Companies can help stimulate the economy by increasing worker wages well above the current low rate of inflation, said Klaas Knot, President of the Dutch Central Bank. An improvement in purchasing power is the best way for the Dutch economy to move forward, he said at the International Monetary Fund meeting on Friday. This can be done through a reduction in taxes and higher wages, Knot is reported saying in Z24. "Big companies are good on cash [right now] and the economy is improving. After years, there is room for an increase in purchasing power," Knot is quoted saying. As consumers have more money to spend companies will invest more, he added. "Over the last five years, disposable income was decreasing. It is not surprising that companies kept the money to themselves." Knot also agreed that the economic recovery in Europe is pushed forward by the stimulus from the ECB, which he does not favor. “They are giving the recovery a push, this is undeniable. But I think the recovery was already there in the first place," he said. A loose monetary policy leads to low and even negative interest rates, he added. "Risk now has no price. If that lasts too long, there will be excessive risk taking," he commented.

Follow us:

Latest stories

  • Council of State advises against criminalizing gay conversion therapy
  • Cabinet may use Lelystad Airport, empty churches to shelter asylum seekers & refugees
  • More hospitals, cybersecurity firm also targeted in pro-Russia cyberattack
  • Parliamentary inquiry on Groningen gas earthquakes didn't restore locals trust in gov't
  • Amsterdam to Barcelona night train wins support from European Commission
  • Four men convicted in 1985 gas station cashier murder may have made false confessions

Top stories

  • Cabinet may use Lelystad Airport, empty churches to shelter asylum seekers & refugees
  • Netherlands named 8th least corrupt nation in annual review, but issues remain
  • Dutch human rights institute critical of “disproportionate” arrest of climate protesters
  • Regions outside Randstad against limiting international students
  • Rutte, Macron and Biden not yet ready to give Ukraine F-16 jets
  • Housing construction at highest level in decade; Still 26% below gov't target

© 2012-2023, NL Times, All rights reserved.

Footer menu

  • Privacy
  • Contact
  • Partner content