Kingdom of the Netherlands–The Netherlands: 2024 Article IV Consultation-Press Release; and Staff Report

Author: International Monetary Fund. European Dept.

Volume/Issue: Volume 2024 Issue 085

Publication date: April 2024

ISBN: 9798400271724

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Topics covered in this book

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Inflation , Labor , Economics- Macroeconomics , Money and Monetary Policy , Business and Economics - Statistics , International - Economics , Public Policy- Environmental Policy , government Finance statistics yearbook , IMF staff calculation , core inflation persistence , EMU aggregate , consultation cycle , Labor markets , Inflation , Labor shortages , Fiscal stance , Europe

Also of interest

Republic of Congo : 2001 Article IV

Spain

Malawi

Peru

Summary

The economy has cooled, but signs of overheating remain. After two years of strong recovery, growth decelerated in 2023, reflecting the energy shock, tighter financial conditions, and a slowdown in key trading partners, particularly Germany. Still, core inflation remains elevated, reflecting a tight labor market, robust wage growth, and healthy profit margins. Fragmented results in November elections are leading to a prolonged government formation, with possible implications for pro-growth and climate policies.