How is the Dutch government helping the economy through the Covid-19 crisis?
The Netherlands is slowly going back to normal, or 'the new normal' as many people call it. However, many companies have been financially struck due to the measures imposed by the government to prevent the coronavirus from spreading. For instance, restaurants, café's, cinemas and museums have been closed for a long time. But in 2020, the number of companies going bankrupt was only 2703; this is the lowest number of bankruptcies in 20 years (CBS, 2021). But how did the Dutch government intervene in such a way, companies could stay afloat?
One of the reasons for the low number of bankruptcies was the support of the Dutch government. One of these measures was the NOW (Temporary Emergency Bridging Measure for Employment). The NOW allowed companies that expected to lose over 20 percent of their revenue to get compensated for their usual labour costs. This resulted in fewer people losing their jobs and, thus, being able to invest more money in the economy. Moreover, the government-supported people who lost their jobs due to the measures to prevent the coronavirus from spreading. And even companies could attain a loan to solve liquidity problems (Rijksoverheid, 2021).
Even though the government provided many support initiatives, the Dutch economy shrank in the second quarter of 2020. This could be due to the fact that people were uncertain about the coronavirus and did not yet know what could be expected in these uncertain times. However, in the third quarter, almost 8 percent was shown, and the economy started picking up again (CBS, 2021).
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After the first shock of the coronavirus had passed, the economy started increasing again. This is one of the many reasons it might be interesting to set up your business in The Netherlands. The political environment is steady, and in times of crisis, they can financially help their inhabitants. If you are thinking of relocating your business to the Netherlands, Q-Business Support could help you set things up for a smooth transition.
A team of multilingual and highly skilled professionals is available to help you make the move to the Netherlands. In an ever-changing environment, Q-Business Support could make this transition as easy and pleasant as possible.