Netherlands: Demand recovers

The economy continues to recover, with GDP growth rising to 3% in 2006. Exports are benefiting from strong world demand and improving competitiveness. Domestic demand is finally picking up as private consumption is underpinned by a stronger labour market. Inflation is low, but core inflation is expected to pick up gradually along with higher wage growth.
The fiscal position has considerably improved, but could be further strengthened by phasing out mortgage-interest subsidies, helping to soften strong demand pressures in the housing market. Moreover, further measures should be taken to increase the labour force participation rate of disabled workers, which shows no improvement.
Population (000s), 200516 320
Area (000 sq km)41
CurrencyEuro
GDP (Billion USD), 2005558.1
Life expectancy at birth (Women, Men), 2004 81.4, 76.9
Total labour force (000s), 20058 345
Government typeConstitutional Monarchy
Indicators% change unless otherwise indicated
200620072008
GDP growth3.03.13.0
Household savings ratio7.06.04.9
Consumer price index1.51.01.9
Unemployment rate (%)4.94.23.1
General government financial balance
(% GDP)
-0.4-0.2-0.1
Current account balance (% GDP)7.47.79.3
Source: OECD©OECD Observer No. 258/259, December 2006


Economic data

GDP growth: -1.8% Q1 2020/Q4 2019
Consumer price inflation: 0.9% Apr 2020 annual
Trade (G20): -4.3% exp, -3.9% imp, Q1 2020/Q4 2019
Unemployment: 8.4% Apr 2020
Last update: 9 July 2020

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