In the second quarter of this year, the Dutch economy shrank by 8.5 percent compared to the previous quarter and fell by 9.5 percent compared to the second quarter of 2019, according to Statistics Netherlands (CBS). More than half of the decline in gross domestic product (GDP) in the second quarter can be attributed to a sharp drop in household consumption.
Households spent 10.4 percent less in the second quarter than in the first, 11.8 percent less than the year before. Investments decreased by 12.4 percent compared to the previous quarter and were 10.7 percent off the pace from 2019. Exports were 8.3 percent off of last year’s pace for the second quarter, while government spending dropped 3.5 percent. Production of business services fell 12.4 percent, especially travel agencies.
