The Dutch economy contracted by 0.7 percent in the first three months of this year compared to the previous quarter. This means that we are doing worse than our neighboring countries, where the economy is growing or staying at the same level. In the last three months of last year there was still a growth of 0.4 percent.
The contraction is mainly due to a fall in the trade balance, Statistics Netherlands reports Tuesday. Exports of goods and services fell by 1.8 percent compared to the fourth quarter of 2022.
Imports of goods and services also fell, but with a decline of 1.3 percent less than exports. As a result, the trade balance had a negative effect on economic development in the first quarter. In addition, more gas was drawn from stocks. That also led to shrinkage.
Last month, the European statistics office Eurostat already published figures about the eurozone. Compared to the closing quarter of last year, it rose 0.1 percent. Compared to the first three months of 2022, the economy grew by 1.3 percent. But the German economy actually stagnated and that is our most important trading partner.
Investments in fixed assets increased by 1.1 percent compared to the previous quarter. This is mainly due to investments in construction, passenger cars, aircraft and machinery.
Government consumption grew by 0.5 percent, while household consumption remained the same. They purchased fewer services, but bought more goods.
Added value declined in many industries
In more than half of the industries, the added value, the difference between the production and consumption of energy, materials and services, decreased compared to the previous quarter.
The decrease was strongest in mineral extraction, where less gas was extracted. The trade, hotel and catering industry, transport and storage sector exerted the greatest pressure on economic development. The added value of the construction industry increased most strongly at 2.4 percent. Construction also contributed the most to economic development.
The economy grew by 1.9 percent in the first quarter compared to a year earlier. This is due to investment, household consumption and government consumption. The trade balance actually had a negative effect.
A lockdown was in effect in the first quarter of last year (until January 25). Even after that, the catering industry and the recreation and culture sector, for example, still had to deal with corona measures, such as admission tickets and limited opening hours.
2023-05-16 07:29:22
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