The Netherlands slips out of Top 5 competitive economies ranking

4th September 2013, Comments 9 comments

The Netherlands has fallen three places to number eight in the latest World Economic Forum ranking of the world's most competitive economies.

In the 2012 edition, the Netherlands had risen two places to number 5, much to the satisfaction of government ministers.

Erasmus university professor Henk Volberda, who is in charge of the Dutch research, said the Dutch decline is the largest of any top ranking country.

'The badly performing financial markets and continuing concerns about the instability of the Dutch banks' are among the reasons for the Dutch downgrade, Volberda said.

In addition, the lack of credit for companies and private individuals is also hampering the Dutch economy, he said.

Education


'The Netherlands is not able to sufficiently profit from the more positive economic climate because of the badly-performing jobs market and the lack of sustainable investment in innovation and education,' he said in an emailed statement.

This is despite the 'fantastic Dutch infrastructure' in terms of healthcare, excellent public services and efficient markets.

Switzerland, Singapore and Finland lead the ranking and are examples of innovation-rich economies, the World Economic Forum report stated.

Germany, the Netherlands' near neighbour, has risen to fourth place. In particular, the country's decentralised innovation strategy has born fruit. The US completes the top 5 line up.



© DutchNews.nl

9 Comments To This Article

  • carrico posted:

    on 1st October 2013, 04:41:29 - Reply

    Slips out of, but what 'into'?
    Gott im Himmel! Are we back in high school?
  • andynoble

    on 6th September 2013, 00:06:36 - Reply

    Was very surprised to read that NL was in the Top 5. I wouldn't put it in the top 50.
    I'm trying to rent my property out in Amsterdam
  • rich posted:

    on 5th September 2013, 17:42:47 - Reply

    Why incorporate a company in NL, where you are forced to use the expensive and hasslesome services of a 'notary public'.

    In the UK (and many other anglo countries) nobody needs a lawyer to set up a limited company, and their lawyers simply make a living doing other things, like taking bad service providers to court (which would the dutch a lot of good, if they would be held accountable, for once!)

    Next, once your Dutch company is running, the tax office comes running after you to 'remind' you to pay yourself some 40k euro annual salary (gebruikelijk directeur loon) just to make sure that you will pay out salary to allow the tax man to tax up to 50% away from you.

    In UK, the tax man leaves owners alone, and allows them to pile up retained earnings until they feel they want to pay it out to themselves, instead of forcing you to squeeze out salary in a time when, may be, your company can't afford to do so.

  • Elena posted:

    on 5th September 2013, 10:54:10 - Reply

    Hmmm... a couple of years ago I have written a short essay on what threatens Dutch economic and social development. The analysis was inspired by the key phrase from the INSEAD publication on innovation (2010): If innovation is a motor of economy, diversity is a motor of innovation. Unfortunately, the power of diversity seems to be undiscovered by policy-makers and top managers in The Netherlands. Even the international corporations, which are forced to include Diversity Management into their reporting due to the international business regulations, fail to profit from the advantages provided by highly multicultural society effectively and efficiently. It's not surprising therefore...
  • elvis posted:

    on 4th September 2013, 19:27:40 - Reply

    Perhaps this article will shed some light on the excellent infrastructure, good it is available on expatical.nl so anyone can go and read it:

    "Food industry, MPs shocked by contaminated meat claims"
  • elvis posted:

    on 4th September 2013, 19:18:00 - Reply

    @JD: It is OK if you taste sweetness by saying sugar repetitively.
  • carrico posted:

    on 4th September 2013, 15:20:17 - Reply

    Hah! The U.S. made it too? And Barack's in Sweden?
  • Casey posted:

    on 4th September 2013, 12:15:45 - Reply

    What is exactly the "excellent public service" or "infrastructure"? This summer my rental company didn't send anybody to check my heating system. I contacted them and they said from now on, we will check the tenant's heating systems only once per 2 years and good bye!!

    Very excellent public services and infrastructure is evident from this example.
  • evlsi posted:

    on 4th September 2013, 11:46:56 - Reply

    I am not surprised. I was when it appeared on the top 5.