Economic Update Dutch version
The 0.6% q-o-q contraction of GDP in 10Q4 was in a word, disappointing. The harsh winter explains part of the slowdown but there are unfortunately other signs pointing to a struggling recovery. Warmer weather may lead to a temporary boost in GDP in 11Q1, but the growth outlook in the coming quarters is not much brighter.
After growing 4.5% in 2009, the economy is back to its pre-crisis growth level of around 6%. Downside risks to growth are a lower than expected global growth, a reversal of foreign capital flows, and/or a bursting asset bubble.