Climate finance took center stage at COP27, resulting in an agreement to establish a “loss and damage” fund, albeit with all the details missing. Aside from this achievement, COP27 failed to bring us closer to the goal of limiting global warming to 1.5C compared to pre-industrial levels.
The ECB is in a unique position to fundamentally strengthen the eurozone and support the fiscal policies of its member states. But everything depends on a successful bond issuance by the ECB.
During COP27 in Sharm el-Sheikh, Egypt, the pledges made at COP26 will have to be converted into actions. This article discusses where COP26 left us and what we can expect from the coming ‘African COP.’
Due to structural deficits on the US current account, its net external investment position is close to minus 100% of GDP. In a world, in which China is promoting the international use of the renminbi, this may have consequences for the position of the dollar.
Dutch Housing Market Quarterly
Due to further interest rate hikes, the Dutch housing market is cooling down faster than expected. Next year, house prices are forecasted to drop 3.1%.
Current economic data suggests a tipping point in the month of September.
In the third quarter, GDP growth slowed in the Eurozone. From Q4 onwards, we expect the Eurozone economy to contract for several quarters. Looking beyond the short term, we expect the energy crisis to haunt Europe for years.
After the technical recession in the first half of this year, the Fed’s Volcker-esque hiking cycle and the inverted yield curve point to an official recession next year. The current inversion of the yield curve indicates that the probability of the second recession is 70%.
In September the Dutch government presented its budget for 2023. High energy prices and purchasing power were the main focus of the budget presentation.