While the Dutch economy grew by 0.4% in the second quarter of the year, compared with the previous period, overall economic sentiment has weakened, according to the latest Business Cycle Tracer from Statistics Netherlands (CBS).
As CBS noted, the economic picture in July was more negative than in June, with nine of the 13 indicators in its Business Cycle Tracer below their long-term trend.
Household consumption
Household consumption and government spending made the largest contributions to GDP growth in the period, while manufacturing output also improved, increasing by 0.1% in May 2026 compared with April and rising 4.9% year on year.
Elsewhere, consumer confidence improved from -39 to -35, although it remained below its long-term average, while producer confidence increased from 1.3 to 2.4, moving above its 20-year average.
Trade remained resilient, with the volume of goods exports rising 5.5% year on year in May, led by petroleum products and electrical machinery.
Investment remained weaker, however. Investment in tangible fixed assets declined by 3.8% in May compared with the same month in 2025, reflecting lower spending on buildings, infrastructure and machinery.
Labour market
The labour market showed mixed signals. Unemployment edged down to 3.8% in June from 3.9% in May, equivalent to 393,000 unemployed people. However, total hours worked fell by 0.4% in the second quarter, while job vacancies declined by 3,000 to 375,000, continuing a gradual downward trend.
Elsewhere, the number of bankruptcies in the Netherlands increased by 5% in June, with 15 more businesses declared bankrupt than in May.
The housing market remained resilient, with existing owner-occupied home prices rising 4.1% year on year in June and increasing 0.6% compared with May.
‘According to the first estimate from Statistics Netherlands (CBS), gross domestic product (GDP) grew by 0.4 percent in Q2 2026, relative to Q1,’ the statistics body said. ‘Household consumption and public consumption made the most positive contributions to growth.’ Read more here.
