Investment in the Netherlands contracted by 2% in April. This was reported by Statistics Netherlands. According to CBS chief economist Peter Hein van Mulligen, there has been less investment particularly in housing. ‘In the first quarter of this year, investment was one of the parts of the economy that was still generating growth. However, the economy has contracted.
This trend has not continued. Whether there will be a breakup, however, remains to be seen, thinks Van Mulligen. Because not only can investments be irregular, the figure found can also be the result of, for example, the number of working days. “There’s no fix for that. If there’s a working day more or less, it can have an effect.”
Sustainability
Less has been invested in new homes, but more has been invested in making homes more sustainable. ‘Even in the first quarter (…) think of solar panels, insulation and heat pumps.’ A plus that meant that the investment figure was not even lower: investments in cars by companies.
While Van Mulligen can’t comment on the long term, he sees less favorable circumstances. “It’s not a law of the Medes and Persians that you will see a contraction the next month as well, but there is often a connection nonetheless.”
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
