Netherlands: Economy posts impressive growth in Q2
August 16, 2017
The Netherlands’ economy picked up substantially in the second quarter of 2017 on the back of strong external demand and private consumption. GDP grew 1.5% in seasonally-adjusted terms over the previous quarter, according to preliminary data released by Statistics Netherlands on 16 August, following a 0.7% expansion in Q1. According to Statistics Netherlands, this is only the third time in the 21st Century that the economy has experienced such impressive quarterly growth. In annual terms, the economy grew 3.3% in Q2 over the same quarter last year, a slight acceleration compared to Q1’s 3.2% expansion.
The quarter-on-quarter expansion resulted from stronger private consumption as Dutch households spent more on both goods and services. Fixed investment also expanded in Q2 thanks to higher investment in residential property and automobiles. The solid performance of the domestic sector was underpinned by falling unemployment, a thriving housing market and very upbeat consumer sentiment.
More detailed data will be released on 22 September.
Author: Lindsey Ice, Economist