Economic situation remains unchanged

According to Statistics Netherlands’ Business Cycle Tracer, the economic situation in
August was about the same as in July. Economic recovery has come to a virtual standstill over the last months. In August, improvements and deteriorations again cancelled each other out. Just over half of  indicators in the Business Cycle Tracer show an upward trend, i.e. their growth rate is increasing.

Consumer confidence dropped 1 point in September to -7. The mood among manufacturers deteriorated also. The producer confidence indicator fell from 0.0 in August to -0.2 in September.

Current developments in the exports of goods, private sector investments and household consumption are favourable. The volume of exports of goods was 4.1 percent up in July 2014 from twelve months previously. Investments in tangible fixed assets were 5.2 percent up. Household spending on goods and services was 0.5 percent up from July 2013.

The average daily output generated by Dutch manufacturing industry was 0.7 percent up in July 2014 from July 2013. In June output levels had been 1.3 percent lower than twelve months previously. 463 businesses and institutions (excluding one-man businesses) were declared bankrupt in August, i.e. 24 percent fewer than in August 2013.

The labour market shows improvements. In August, seasonally adjusted unemployment fell further to reach 632 thousand, but, with 8.0 percent, the unemployment rate in the Dutch labour force remains fairly high. The number of jobs of employees remained stable in the second quarter. The number of job vacancies, on the other hand, increased substantially in the second quarter relative to the first quarter. The total amount of hours worked in temp jobs grew in the second quarter of 2014 relative to the first quarter.

The most recent figure on economic growth refers to the second quarter of 2014. Relative to the first quarter of 2014, the Dutch economy grew by  0.7 percent. Quarter-on-quarter growth figures are adjusted for calendar and seasonal effects. The Dutch economy grew by 1.1 percent in the second quarter relative to the same period one year ago.

Gross domestic product (GDP)