Dutch Need to Keep State Debt in Check, Central Bank Chief Says

The Netherlands needs to keep government spending in check, according to Dutch central bank chief Olaf Sleijpen.

“The state debt, if we do nothing it will increase — and I don’t think that’s the way to go,” he told public broadcaster NPO1. “It would be highly irresponsible to borrow more. You defer more to future generations, and it’s also not good for inflation.”

The Netherlands, like other European peers, faces a perennial struggle over budgets. Fragmented parliaments and structurally increasing spending demands often transform routine fiscal measures into matters for protracted negotiations that can weigh on markets.

“There is so much uncertainty, which is not good for entrepreneurs, investments are lagging,” Sleijpen told the channel’s flagship Wnl Op Zondag program. “Growth in the Netherlands is about 1%, and that should be more. We need to solve nitrogen pollution, the housing shortage, the energy grid.”

The Netherlands has one of the stronger fiscal positions in the euro area. Dutch government debt stood at about 45% of gross domestic product at the end of 2025, roughly half the euro-area average and well below the European Union’s 60% ceiling.

“The world around us is getting colder and more hostile,” Sleijpen said. “We can’t solve all that, but the best preparation for shocks to come is to manage your own house well.”

Dutch Workers Strike Over Welfare Cuts to Fund Higher NATO SpendDutch Cabinet Clinches Budget Deal, Averting Crisis for Now Dutch to Propose Capital Gains Tax to Break Reform Deadlock