Member access

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

Netherlands Back in Recession as GDP Shrinks

02/14/2013 | 04:14am US/Eastern

By Maarten van Tartwijk

AMSTERDAM--The Netherlands slid back into recession in the fourth quarter, as declines in investments and household consumption led to a second straight quarter of economic contraction, official data showed Thursday.

Output in the Netherlands, the euro zone's fifth-largest economy, contracted by a quarterly 0.2% in the final three months of 2012, data from the national statistics bureau CBS showed. After shrinking by 0.9% in the third quarter, the Netherlands officially entered a recession for the third time since 2009, according to a definition accepted by many economists.

The Netherlands is considered one of the stronger economies in the euro zone, but its performance is lagging other 'core' members of the bloc amid slowing exports and a persistent slump in the housing market. The economic contraction will likely drag on until the second half of 2013, according to several official forecasts.

Falling house prices have caused an erosion of household wealth and this in turn has led to consumers cutting back their spending. Dutch households are among the most indebted in Europe due to their large mortgage debt.

The fourth-quarter contraction was driven by a 5.2% year-on-year drop in investments and a 2.3% decline in household consumption, CBS said. Exports, a key driver of the Dutch economy, grew by 3.2% on the year, it said.

Write to Maarten van Tartwijk at maarten.vantartwijk@dowjones.com

React to this article
Latest news
Date Title
2m ago MOODY : publishes UAE annual credit analysis report
2m ago GIKEN SAKATA S : Court meeting::voluntary
2m ago GIKEN SAKATA S : Annual general meeting::voluntary
3m ago AT&T : Samsung Gear VR Innovator Edition Will Be Available Online This Friday
6m ago SONY : Hack Was 'Act Of Cyber-Vandalism' (Obama)
7m ago Dalian Wanda Commercial to raise up to US$3.8 billion in HK IPO
10m ago ST JOSEPH : Notre Dame's Torres relishes the dirty work
11m ago UBE : Fukushima Radiation Nearing West Coast
19m ago NORTHROP GRUMMAN : MILITARY Interconnecting Air Sought by Defense Logistics Agency
19m ago BOEING : MILITARY $71,189 Federal Contract Awarded to Boeing
Latest news
Advertisement
Hot News 
DENDREON : Entry into a Material Definitive Agreement, Change in Directors or Principal Officers, Other Events, Financial Statements and Exhibits (form 8-K)
DIXONS CARPHONE : *exane bnp raises dixons carphone price target to 510 (450) pence - 'outperform'
BERKELEY MINERAL RESOURCES : Obsidian IR
NATURE : Warns 2014 Results To Be "Materially" Below Market View
FINISH LINE : Reports Third Quarter Fiscal Year 2015 Results
Most Read News
1d ago COMCAST : DISH, Comcast SportsNet reach deal in regional dispute
1d ago APPLE : Innovation – The Apple way
1d ago INDUSTRY ANALYST JEFF KAGAN : Will AT&T GigaPower Beat Google Fiber
1d ago MACY : When Apple Pay Requires a Signature and When it Doesn't
1d ago FRANCESCA : announces new CEO amid faltering sales
Most recommended articles
1h ago Thales to name Proglio and Caine as chairman and CEO - AFP
1h ago ADIDAS : sells more than three million Germany soccer shirts - Focus
1h agoDJMARKET SNAPSHOT : Stocks Expected To Rise In Low-volume Holiday Week
1h ago SAUDI OIL MIN : 'Let the most efficient producers produce'
2h ago Saudi's Naimi says prices will stimulate demand, confident market will recover
Dynamic quotes  
ON
| OFF