A river under the bridge in the Netherlands

Netherlands GDP Q3 2023

Netherlands: GDP contracts for third straight quarter in Q3

The economy contracted 0.2% on a seasonally adjusted quarter-on-quarter basis in Q3, improving from a 0.4% contraction in the second quarter but marking the third fall in a row. On an annual basis, GDP contracted 0.6%, compared with the previous period’s 0.2% contraction.

Household spending was flat in the quarter (Q2 2023: -1.7% s.a. qoq). Government spending expanded by 0.6% (Q2 2023: +0.8% s.a. qoq). Meanwhile, fixed investment contracted by 1.8% in Q3, down from the 0.3% increase logged in the prior quarter.

Exports of goods and services contracted by 1.6% on a seasonally adjusted quarterly basis in Q3, following a 1.2% fall in Q2. Additionally, the growth in imports of goods and services deteriorated, contracting by 2.3% in Q3 (Q2 2023: -0.3% s.a. qoq). Overall, given the reduction in imports, the net contribution of the trade balance was positive.

On a sectorial level, the contraction was mainly driven by declines in the energy and recreation sectors. Meanwhile, while manufacturing stagnated, mining and quarrying expanded strongly.

On the outlook for the economy, ING’s Marcel Klok commented:

“These third quarter figures don’t call for a big revision of our outlook. Despite the negative number for 3Q23, we do expect a bit of growth to return in the fourth quarter. […] That said, GDP growth is expected to remain below potential. We particularly expect the negative trend in investment to continue, given the weakness in the global business cycle and higher financing costs.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest