The Netherlands may receive more than €1bn less than expected from European coronavirus recovery funds because the economy has performed better than earlier estimates indicated, finance minister Sigrid Kaag told MPs on Friday
The Netherlands had expected some €6bn from Brussels and €5.8bn had been used in calculations for drawing up the new government spending plans.
However, the real figure is more likely to be €4.7bn because the economy did not shrink as much as expected during the pandemic, Kaag said in her briefing.
Economists had thought the Dutch economy would contract by 5.3% in 2020, but the actual figure was 3.8%. Economic growth in 2021 is also likely to be higher than forecast.
The calculations are still preliminary, Kaag told MPs. More will be known about the figures in April and the final decision will be taken in June.
EU countries can only claim recovery money if they commit to economic reforms – a condition which the Netherlands fought for when the funds were being set up.
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