Business climate is satisfactory, but valuation drops slightly | News item

News item | 19-01-2024 | 13:15

The Netherlands has a solid business climate. This is evident from international rankings, among other things. More than three-quarters of entrepreneurs rate the Dutch business climate as satisfactory, but their appreciation has decreased. The ‘report mark’ drops slightly from 6.7 to 6.4. This is evident from the first edition of the Business Climate Monitor, which the government sent to the House of Representatives. Perceptions about the digital, knowledge and physical infrastructure show a positive picture, as do the quality of life and proximity to stakeholders. The tax environment, feasibility of regulations, financing (and specifically venture capital), predictability and stability of policy and sentiment about the business community emerge as important points of attention.

An attractive business climate is essential for strong earning capacity and broad prosperity in the Netherlands. After all, entrepreneurs make this possible. Companies provide more than two-thirds of the jobs in the Netherlands and contribute to the financing of our public facilities, such as healthcare and education.

The business climate therefore deserves continued attention, according to Minister Adriaansens (Economic Affairs and Climate) and State Secretary Van Rij (Tax and Tax Authorities). The government is working on good preconditions for this, such as stable and predictable (fiscal) policy, less regulatory pressure and the availability of sufficient space for companies. It also promotes good access to financing for entrepreneurs and supports employers in tackling staff shortages in technology and ICT. In addition, the government and grid operators are taking measures to tackle capacity problems on the energy grid, including by expanding the power grid more quickly and making better use of the current space on the grid.

The ministers emphasize that a strong business climate is a joint responsibility of society and the business community.

Minister Adriaansens: “The way we talk about companies has an impact on our business climate. For example, negative social sentiment about large companies plays a role in the boardroom when making investment decisions. Our business community is of decisive importance to maintain and further strengthen our current prosperity. It is good to realize this and give the business community the appreciation it deserves.”

State Secretary Van Rij: “The Netherlands is known worldwide as an innovative country with an associated economy. Taxation plays an important role in this. A stable and predictable fiscal environment is of great importance. We have to keep working on that.”

However, companies must make it clearer what they contribute to society, the government says. They must also limit or avoid the negative consequences of their economic activities. It goes without saying that they must comply with all legal obligations.

To monitor the development of the business climate, the government has an annual survey conducted into its quality. Based on this, measures can be taken to make adjustments.

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