Credit rating agency Fitch gives the Netherlands highest rating again
The Netherlands has again received the highest rating from credit rating agency Fitch. This AAA rating means that it is particularly safe to lend money to the Dutch state. The status ensures that interest rates on government bonds remain very low. Fitch praised the flexible and open economy of the Netherlands, which it said adds a lot of value.
The prognosis for the coming period is also stable, according to Fitch. A rapid adjustment of the credit assessment is therefore not to be expected. The American credit rating agency expects the Dutch economy to grow by 3.2 percent this year and by 1.8 percent in 2023.
According to Fitch, there are "significant downsides" to the economy for the Netherlands due to the war in Ukraine and the sanctions against Russia. These could lead to further disruptions in the supply chain, higher energy prices and shortages of raw materials.
The credit rating agency predicted inflation should peak in the Netherlands this year at 5.7 percent and then drop to 2.4 percent in 2023. However, this is on the condition that shortages in the labor market do not cause additional inflation because of sharply-rising wages.
Fitch issues an assessment of the creditworthiness of the Netherlands every six months. It is one of the largest three credit rating agencies. The other two are Moody's and Standard & Poor's.
Reporting by ANP