Dutch Bank fears third financial crisis

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After the credit crunch and the European debt crisis, the real estate sector is about to become the cause of a third financial crisis.

The newly appointed financial institutions supervisor at the Netherlands Central Bank, Jan Sijbrand, made this statement in an interview with the financial paper on Friday.

Assessing value real estate Mr Sijbrand says it is his primary concern to arrive at a “correct” assessed value of commercial real estate. “As long as there are doubts about assessment, there is no trust in the market and financiers or investors will not be interested in financing banks. This means the problems will drag on unnecessarily.”

Mr Sijbrand believes investors will be interested in buying commercial real estate as soon as the assessment issue has been sorted out. At present, trade in the sector is at a virtual standstill.


© Radio Netherlands Worldwide  

© Radio Netherlands Worldwide

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