The outlook for financial stability in the Netherlands is worrying and places high demands on institutions and policymakers, the Dutch central bank said in its half-yearly statement on the economy on Wednesday.

The European debt crisis and the weak global economic recovery are currently the biggest threats while in the Netherlands itself, the structure of the housing market makes households and banks vulnerable to shocks, the central bank says.
One positive development is that Dutch banks have considerably improved their capital position since the outset of the crisis. This is due to market pressure and because of higher supervisory requirements.
Nevertheless, the NRC’s Jeroen Wester describes the report as ‘very gloomy’. It points out that many of the financial risks the central bank warned against earlier have now become a reality, Wester said.
For a summary of the statement in English, click here