Netherlands Economy - 2005

Economy - overview:
The Netherlands has a prosperous and open economy, which depends heavily on foreign trade. The economy is noted for stable industrial relations, moderate unemployment and inflation, a sizable current account surplus, and an important role as a European transportation hub. Industrial activity is predominantly in food processing, chemicals, petroleum refining, and electrical machinery. A highly mechanized agricultural sector employs no more than 4% of the labor force but provides large surpluses for the food-processing industry and for exports. The Netherlands, along with 11 of its EU partners, began circulating the euro currency on 1 January 2002. The country continues to be one of the leading European nations for attracting foreign direct investment. Economic growth slowed considerably in 2001-04, as part of the global economic slowdown, but for the four years before that, annual growth averaged nearly 4%, well above the EU average.

GDP:
purchasing power parity - $481.1 billion (2004 est.)

GDP - real growth rate:
1.2% (2004 est.)

GDP - per capita:
purchasing power parity - $29,500 (2004 est.)

GDP - composition by sector:
agriculture: 2.4%
industry: 24.5%
services: 73.1% (2004 est.)

Labor force:
7.53 million (2004 est.)

Labor force - by occupation:
agriculture 4%, industry 23%, services 73% (1998 est.)

Unemployment rate:
6% (2004 est.)

Population below poverty line:
NA

Household income or consumption by percentage share:
lowest 10%: 2.8%
highest 10%: 25.1% (1994)

Distribution of family income - Gini index:
32.6 (1994)

Inflation rate (consumer prices):
1.4% (2004 est.)

Investment (gross fixed):
19.9% of GDP (2004 est.)

Budget:
revenues: $256.9 billion
expenditures: $274.4 billion, including capital expenditures of NA (2004 est.)

Public debt:
55.8% of GDP (2004 est.)

Agriculture - products:
grains, potatoes, sugar beets, fruits, vegetables; livestock

Industries:
agroindustries, metal and engineering products, electrical machinery and equipment, chemicals, petroleum, construction, microelectronics, fishing

Industrial production growth rate:
0.8% (2004 est.)

Electricity - production:
90.61 billion kWh (2002)

Electricity - consumption:
100.7 billion kWh (2002)

Electricity - exports:
4.5 billion kWh (2002)

Electricity - imports:
20.9 billion kWh (2002)

Oil - production:
46,200 bbl/day (2001 est.)

Oil - consumption:
895,300 bbl/day (2001 est.)

Oil - exports:
1.418 million bbl/day (2001)

Oil - imports:
2.284 million bbl/day (2001)

Oil - proved reserves:
88.06 million bbl (1 January 2002)

Natural gas - production:
77.75 billion cu m (2001 est.)

Natural gas - consumption:
49.72 billion cu m (2001 est.)

Natural gas - exports:
49.28 billion cu m (2001 est.)

Natural gas - imports:
20.78 billion cu m (2001 est.)

Natural gas - proved reserves:
1.693 trillion cu m (1 January 2002)

Current account balance:
$19.9 billion (2004 est.)

Exports:
$293.1 billion f.o.b. (2004 est.)

Exports - commodities:
machinery and equipment, chemicals, fuels; foodstuffs

Exports - partners:
Germany 25%, Belgium 12.6%, UK 10.1%, France 9.8%, Italy 6%, US 4.2% (2004)

Imports:
$252.7 billion f.o.b. (2004 est.)

Imports - commodities:
machinery and transport equipment, chemicals, fuels; foodstuffs, clothing

Imports - partners:
Germany 17.7%, Belgium 10.2%, US 7.8%, China 7.1%, UK 6.6%, France 4.9% (2004)

Reserves of foreign exchange and gold:
$21.44 billion (2003)

Economic aid - donor:
ODA, $4 billion (2003 est.)

Currency (code):
euro (EUR)
note: on 1 January 1999, the European Monetary Union introduced the euro as a common currency to be used by financial institutions of member countries; on 1 January 2002, the euro became the sole currency for everyday transactions within the member countries

Exchange rates:
euros per US dollar - 0.8054 (2004), 0.886 (2003), 1.0626 (2002), 1.1175 (2001), 1.0854 (2000)