Economic situation more or less stable

According to Statistics Netherlands’ Business Cycle Tracer, the economic situation in June was about the same as in May. The economic  situation is still fragile, the recovery has come to a virtual standstill in the last few months. The heart of the scatter in the Business Cycle Tracer is located less firmly in the recovery stage than a couple of months ago. 

The consumer confidence indicator remained stable at -2 in June. The mood among consumers has improved considerably since the summer of 2013, but the indicator is still negative. Producer confidence also remained stable. The producer confidence is 0.7 in June. Manufacturers are cautiously optimistic.

Current developments in the exports of goods, private sector investments and household consumption are also positive. The volume of exports of goods was 1,2 percent up in April 2014 from April 2013. Private sector investments in tangible fixed assets were 5.8 percent higher. Household spending on goods and services decreased by a modest 0.1 percent.

The average daily output generated by Dutch manufacturing industry was 2.1 percent up in April 2014 from April 2013. In May, 551 businesses and institutions (excluding one-man businesses) were declared bankrupt.

The situation on the job market remains bleak. The number of jobs declined further in the first quarter. Seasonally adjusted unemployment fell in Mayl. With 8.6 percent, the unemployment rate in the Dutch labour force remains high. The number of job vacancies, on the other hand, increased in the first quarter relative to the fourth quarter of 2013. The total amount of hours worked in temp jobs grew by 0.7 percent in the first quarter of 2014 relative to the fourth quarter of 2013, but the growth was less substantial than in the preceding quarters.

The most recent figure on economic growth refers to the first quarter of 2014. Relative to the fourth quarter of 2013, the Dutch economy showed a negative growth rate of 0.6 percent. Quarter-on-quarter growth figures are adjusted for calendar and seasonal effects. The Dutch economy showed zero growth in the first quarter of 2014 relative to the same period last year.

Gross domestic product (GDP)