Economic growth highest in more than seven years

20/12/2007 15:00

The volume of the gross domestic product (GDP) grew 4.2 percent in the third quarter of 2007 relative to the same quarter of 2006. This growth rate was the highest in more than seven years. Quarter-on-quarter growth was also exceptionally high. After correction for calendar and seasonal effects, GDP volume was 1.8 percent up on the second quarter of 2007.

With 7.5 percent, exports grew faster than in the first half of the year. This is caused by exports of Dutch products. The volume of imports grew by 7.0 percent. Fixed capital formation rose by 6.5 percent. Investments in machinery and equipment, non-residential buildings and computers rose sharply.

Household spending increased 2.2 percent relative to twelve months previously, mainly due to a higher natural gas consumption. Dutch consumers bought more durable goods like consumer electronics and home furnishing articles. Government consumption grew more (3.9 percent) than in the first six months, mainly due to increased costs of care.

In the third quarter, production of natural gas was clearly up on the same quarter one year previously. In the preceding quarters, on the other hand, production had been lower than twelve months previously. This had a noticeable upward effect on economic growth. In most sectors, production growth more or less equalled the growth rate in the preceding quarter.

Disposable for final expenditure and final expenditure (volume)

Disposable for final expenditure and final expenditure (volume)