Further growth economy

14/11/2006 13:00

The Dutch economy saw further growth in the third quarter of 2006. Gross domestic product (GDP) volume was up by 2.6 percent on the year before. The increase in exports and household consumption was slightly smaller this quarter than in the first six months. Fixed capital formation grew further. Exports were the main driving force behind economic growth. The third quarter of 2006 had a working day fewer than the same period twelve months previously.

After correction for calendar and seasonal effects, GDP volume was up by 0.6 percent on the second quarter of 2006. This quarter-on-quarter growth rate is a fraction lower than in the first half of the year.

Households spent 2.0 percent more in the third quarter of 2006 than in 2005. The increase in spending on durable consumer goods remained high, but was less exuberant than in the first six months. The volume of government consumption remained unchanged. In 2006, changes in the Dutch health care system have been accompanied by a shift from household consumption to government consumption. The figures have been corrected for this effect.

The volume of exports of goods and services was 6.1 percent larger. This rise  was slightly smaller than in the first half of 2006, but slightly larger than in the whole of 2005. The slower growth was caused by the exports of Dutch manufactured products. Re-exports were still growing substantially. Imports grew slightly more than exports.

Investments were up by 6.1 percent in the third quarter of 2006 on the same quarter of 2005. Companies Invested more in machines in particular, but more was also spent on company cars and computers. Investments in dwellings and infrastructure was also clearly up.

The production increased almost everywhere, but it increased most in commercial services and construction. Retail trade benefited from the increase in willingness to purchase by consumers. Production growth in industry was modest.

Disposable for final expenditure and final expenditure (volume)

Disposable for final expenditure and final expenditure (volume)