Investment growth slows down

21/12/2015 15:00

Statistics Netherlands (CBS) reports that the volume of investments in tangible fixed assets grew by 3.9 percent in October 2015 relative to October 2014. The increase is less substantial than in the previous month. The slowdown is caused by lower investments in residential property and infrastructural projects. According to Statistics Netherlands’ Investment Radar, the investment climate in the Netherlands is as favourable in December as it was in October.

Investment figures are not adjusted for calendar effects. October 2015 had one working day less than October 2014.

Investments in tangible fixed assets (volume)

Higher investments in residential property and passenger cars

Just as in previous months, investments in residential property grew noticeably, but the increase in October was less substantial. Investments in passenger cars grew significantly compared to one year previously. On 1 January 2016, conditions for the additional tax liability for company cars will become stricter. In anticipation of these tax measures, many companies decided to purchase new cars prior to 1 January.

Investments in infrastructural projects, on the other hand, declined considerably. Investments in machinery also decreased in October compared to the same month last year.

Investment climate in December as favourable as in October

According to the Statistics Netherlands’ Investment Radar, the investment climate in the Netherlands is as favourable in December as it was in October. The investment climate is affected by the situation on the sales markets and the financial markets. On an annual basis, Dutch share prices rose more rapidly than in October, but the growth of exports was below the level recorded in the previous month and Dutch manufacturers were less positive about their order books.

The numbers in this publication are provisional and can be adjusted.

Sources