Economy

he European Parliament will vote this Thursday on establishing the framework for a new digital euro, with a majority expected to defeat a blocking attempt by radical-right factions. Proponents view the digital currency as a geopolitical necessity to reduce Europe's systemic reliance on American payment giants like Visa and Mastercard. Official negotiations between parliament and member states are on track to conclude by the end of the year despite ongoing divisions within conservative parties.

Global food commodity prices dipped by 0.3% in June, marking a second consecutive monthly decline as geopolitical tensions eased following a provisional US-Iran ceasefire and the reopening of the Strait of Hormuz. According to the UN’s Food and Agriculture Organisation (FAO), the retreat was led by a 3.5% drop in grain prices and a 5.7% plunge in sugar, offsetting minor increases in meat, rice, and vegetable oils. With shipping lanes restored, market anxieties have shifted from conflict to extreme weather risks like Europe's heatwaves and El Niño; however, global food security prospects remain stable, with the FAO projecting 2026 global grain yields to hit nearly 3 billion tonnes—the second-highest harvest on record.

The Eurozone economy managed to stabilise in June, avoiding a feared contraction to finish the month flat at the 50.0 growth-threshold mark, according to finalised data from S&P Global. Despite initial fears that Middle East conflict-driven price hikes and supply chain disruptions would trigger a slump, a stronger-than-expected rally in the services sector helped lift the economy from May's contraction of 48.5. Supported by steady growth in manufacturing, Chris Williamson, Chief Economist at S&P Global Market Intelligence, noted that the data marks a welcome stabilisation for the broader economy after two consecutive months of declining production.

For the first time in three years, the number of mortgage applications in the Netherlands has fallen. De Hypotheker reports a 3 percent drop compared to last year, mainly due to fewer applications for renovations and sustainability upgrades. Applications for home purchases remained stable, with a sharp rise among buyers under 25.

The Ministry of Social Affairs warns that employers using insurers or premium pension institutions are not converting their pension schemes to the new system quickly enough. Only 32 percent of schemes had been transitioned at the start of the year, leaving tens of thousands still to be completed before the 2028 deadline.

After a strong start to the year, rising mortgage rates are slowing the housing market. ABN AMRO now expects modest price increases this year and next, while income growth and a constrained supply keep prices from falling. Regional price gaps are narrowing and structural bottlenecks such as an overloaded power grid and reduced investor interest complicate the outlook.

The Dutch economy expanded slightly faster than first reported at the start of 2026. Revised figures show stronger consumer spending and a smaller drop in exports. Updates to earlier data also changed growth estimates for previous years.

Financial fraud in the Netherlands experienced a steep 30 per cent increase last year, resulting in total losses of 198 million euros. Criminals are increasingly exploiting instant payment systems and online card data to conduct quick, irreversible thefts. The surge has prompted warnings from the Dutch Central Bank regarding sophisticated social engineering and phishing tactics.