## Kingdom of the Netherlands—The Netherlands: Selected Issues

_IMF Staff Country Reports, July 21, 2025_

## Source details

**Canonical URL:** [Kingdom of the Netherlands—The Netherlands: Selected Issues](https://www.imf.org/en/publications/cr/issues/2025/07/18/kingdom-of-the-netherlands-the-netherlands-selected-issues-568758)

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## Bibliographic details
- Published: July 21, 2025
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798229017572.002

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### Overview and purpose
- Examines diagnostic and policy options to enhance labor productivity in the Netherlands.
- Focuses on reforms for both workers and firms to boost productivity growth despite already having one of the highest labor productivity levels globally.
- Publication date: July 21, 2025.

### Key findings on productivity constraints
- The Netherlands faces significant challenges in boosting productivity growth despite high current levels.
- Lower productivity of self-employed individuals contributes to labor market duality concerns.
- Increased resource misallocation has been identified as an issue that undermines firm-level productivity.
- Aging population dynamics raise the importance of maintaining high skills across generations.
- Effective integration of migrants into the labor market is essential for sustaining workforce quality.
- SMEs show gaps in vocational training uptake and participation in research and development activities.
- Cross-border and domestic productivity spillovers are underutilized.

### Policy recommendations and reforms
- Strengthen education outcomes and vocational training, with targeted emphasis on small and medium enterprises (SMEs).
- Sustain efforts to reduce labor market duality, addressing lower productivity among the self-employed.
- Promote business dynamics to reduce resource misallocation and encourage productivity-enhancing investments by firms.
- Complete the EU single market and remove factors that hinder investment activities to stimulate firm investment.
- Foster productivity spillovers domestically and internationally to amplify gains across sectors.
- Encourage SMEs to engage more in research and development activities.

### Subject classification and keywords
- Subject: Income, Labor, Labor markets, Labor productivity, National accounts, Production, Productivity
- Keywords: Eastern Europe, ETS impact, ETS reform, Global, household budget, Income, Labor markets, Labor productivity, policy option, Productivity, reform option

### Publication metadata and identifiers
- Pages: 42
- Volume: 2025
- Issue: 198
- Series: Country Report No. 2025/198
- DOI: https://doi.org/10.5089/9798229017572.002
- Stock No: 1NLDEA2025002
- ISBN: 9798229017572
- ISSN: 1934-7685

*International Monetary Fund. Kingdom of the Netherlands—The Netherlands: Selected Issues. July 21, 2025.*

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_Source: https://www.imf.org/en/publications/cr/issues/2025/07/18/kingdom-of-the-netherlands-the-netherlands-selected-issues-568758_