The Netherlands: Recession despite less stringent shutdowns – Handelsbanken

The Dutch’s openness and dependence on global demand and trade mean that the economic effects of the pandemic will add to last year’s global slowdown, per Handelsbanken. 

Key quotes

“We expect GDP to drop by 7 percent in 2020. Growth is then expected to steadily return to around 3.3 percent in 2021 and 2.1 percent in 2022.”

“The increase in unemployment is expected to be considerable, although less than in the rest of the eurozone. We foresee an average level of 7 percent for 2020, dropping back to 5.9 percent in 2021 and to 5 percent thereafter.”

“We expect low inflation, particularly this year, as a result of falling energy prices. Subsequently, we foresee a moderate increase.”