More good news: coronavirus recession is officially over in the Netherlands

Not only are the Dutch coronavirus measures slowly coming to an end but the Netherlands has also made it to the other side of the recession!

This is apparent from the preliminary calculations by Statistics Netherlands (CBS). The report shows that the Dutch economy has grown by 3,1% in the second quarter of 2021, compared to the first.

How the lockdown effected the Dutch economy

Moreover, GDP (gross domestic product) in the second quarter grew by 9,7% when compared to the same period last year. According to CBS, that’s the largest year-over-year growth the Netherlands has ever seen. 🤩

The phenomenal growth is mainly due to the lockdown last year which resulted in a drastic drop in GDP.

Compared to last year, it’s especially household consumption and the trade balance that’s increased.

Spendings post-lockdown

In the second quarter of 2021, consumers spent 9,3% more than during the same quarter in 2020. The reopening of the shops and catering has had a large effect on this and CBS explains that consumers mainly spent more on catering, medical services, clothing, and cars.

Although it’s the main driver of the exceptional year-over-year growth, household consumption is still 5% lower than in pre-corona times.

Almost at pre-corona levels

While the Dutch economy has made a serious comeback, it’s still not at the same height as the second quarter two years ago.

To be precise, it’s 0,4% smaller — with only government consumption and exports being higher in the second quarter of 2021 than in the second quarter of 2019.

Nevertheless, the Dutch economy is performing better than the European average.

Have you noticed your consumption patterns change over the past year? Tell us in the comments below!

Feature Image: ha************@gm***.com/Depositphotos

Christine Stein Hededam 🇩🇰
Christine Stein Hededam 🇩🇰
A Dane with a special place in her heart for Minnesota, Christine is now falling in love with everything Dutch. Between finishing her bachelor’s degree, learning Dutch, and doing yoga teacher training, you will find her wandering about the Hague. Always up for visiting new places, she loves to explore the Netherlands with friends and takes pride in scoping out cute cafés (wherein to discuss books, big plans, and food).

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