Dutch economy grew 3.5 percent in 2007

14th February 2008, Comments 0 comments

That is the highest growth since the year 2000.

14 February 2008

VOORBURG – The Dutch economy grew by 3.5 percent in 2007. That is the highest growth since the year 2000. Statistics Netherlands (CBS) reported this on Thursday. The economy grew by 3 percent in 2006.
Export was the single largest contributor to economic growth in 2007. But investments and consumption also made considerable contributions, CBS reports. Construction companies and commercial service providers also showed above average growth in production.

The economy was remarkably powerful in the fourth quarter of 2007. There was growth of 4.4 percent during that period, the highest growth in over seven years. The fourth quarter last year did include one more working day than the same quarter in 2006.

There is currently unrest about the development of the economy. It is feared that recession could take hold in the US as a result of the current credit crisis. Europe is worried about the effects this could have on its economy. But Finance Minister Wouter Bos said recently that a recession is "entirely not in order" for the European economy.

Last month Nout Wellink, president of De Nederlandsche Bank, adjusted downwards growth expectations for the Dutch economy. The organisation is counting on growth of about 1.5 percent in 2008. The Bureau for Economic Policy Analysis (CPB) reportedly plans to lower its growth prognosis from 2.25 percent to 1.75 percent.  

Households in the Netherlands spend 2.1 percent more in 2007 than in the previous year. In particular more was spent on durable consumer goods, like cars, furniture, clothing and electronics. Expenditure on that sort of goods rose by more than 4 percent. The government spent 2.9 percent more than in 2006. Expenditure in healthcare in particular grew.

[Copyright Expatica News + ANP 2008]

Subject: Dutch news

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