The coronavirus will definitely cause a recession in the Netherlands, according to a report central planning office CPB released on Thursday. The CPB calculated four scenarios depending on how long the measures to curb the spread of Covid-19 will remain in place, and all four scenarios resulted in a recession. In the best case scenario, the Dutch economy will shrink 1.2 percent this year, in the worst case it will shrink 7.7 percent. In three of the four scenarios, the shrink will be greater than in the 2008/2009 financial crisis, CPB said.
The Dutch economy will continue growing this year and next year, though a bit slower than expected, central planning office CPB said on Thursday. The CPB expects 2.8 percent growth in 2018 and 2.6 percent in 2019, instead of 2.9 percent and 2.7 percent as the office expected in June, NU.nl reports.
The Dutch economy continues to grow steadily and its growth is expected to reach 3.3 percent this year, according to planning office CPB's estimate in its Macro Economic Exploration, which was published on Wednesday. If this estimate holds true, this will be the first time the Dutch economy grows by more than 3 percent since the outbreak of the economic crisis in 2007. In 2018 the gross domestic product is expected to grow by 2.5 percent, NU.nl reports.
The Dutch government debt was 32 billion euros lower than expected at the end of 2016, according to the Annual Financial Report Finance Minister Jeroen Dijsselbloem presented to the senate and lower house of parliament on Wednesday, ANP reports.
After years of a budget deficit, the Dutch government managed to achieve a budget surplus in 2016. And that surplus is even 14 times larger than previously expected - a massive 2.9 billion euros, according to Statistics Netherlands on Friday. The Dutch economy also gew more than expected in previous estimations, RTL Nieuws reports.
Dutch central bank DNB expects the Dutch economy to grow by 2.3 percent this year, according to an estimate the bank published on Monday. This is a much higher growth than the 1.9 percent growth expected in the bank's previous estimate published in June last year, ANP reports.
For next year DNB expects economic growth of 1.7 percent, lower than the 2 percent growth expected in the previous estimate. In 2015 and 2016 the Dutch economy grew by 2 and 2.1 percent respectively.
The Dutch economy is expected to grow by 1.7 percent next year, according to the leaked budget memorandum RTL Nieuws and Telegraaf managed to get hold of. That is slightly more than the 1.6 percent initially estimated.
The Dutch government again became poorer last year due to the declining value of oil- and gas reserves, Statistics Netherlands announced on Tuesday. According to their figures, the government's wealth (assets minus liabilities) dropped by 20 million euros last year. In 2014 it dropped by 60 million euros.
In 2015 the Netherlands' national debt decreased for the first time since 2006. Last year the national debt was 10 billion euros lower than in 2014. And the country's budget deficit is at its lowest rate since 2009, according to the accountability documents sent to parliament on Wednesday
Last year the Dutch economy grew slightly more than Statistics Netherlands calculated based on preliminary figures last month. According to the statistics office, the economy grew by 2 percent, instead of 1.9 percent, and is now back up to pre-crisis levels. Dutch households also have more disposable income and consumer spending was significantly higher in the last quarter of 2015 than a year earlier.
Half of the government debt is currently held by foreign parties, such as foreign pension funds, banks or central banks. In 1995 less than a quarter of the Netherlands debt was in foreign hands.
By the end of this year the Dutch gross domestic product is expected to top the real level seen in 2008 for the first time since the financial crisis. This is according to De Nederlandsche Bank's latest half-yearly forecast, which was published on Monday.
The budget deficit and national debt have gone down once more from previous estimates, according to the Spring memorandum, the interim overview detailing the implementation of the budget from this year, Het Parool reports.