NETHERLANDS: GREEN LIGHT FOR NEW-LOOK STABILITY PROGRAMME.

The Dutch Stability Programme was based on the coalition agreement reached by the parties of the current majority in August 1998. It extended to the period from 1999 to 2002 the double-handed economic policy followed during the period 1994-1998, where the fiscal consolidation effort had to be implemented in conjunction with substantial reduction in the tax burden. The updated programme presents broadly the same three basic macro-economic scenarios as the initial programme, where real GDP growth is expected to reach respectively 2%, 2.75%, 3.25% in 2001 and 2002. Taking into account the favourable recent developments and prospects for the Dutch economy, the Commission believes that the middle or even the favourable scenarios represent more plausible sets of macro-economic hypotheses for the coming years.--Council Regulation 1466/97/EC, which came into force on July 1, 1998, sets forth the provisions needed to tighten up the multilateral surveillance procedure provided for by Article 103 of the Treaty. Countries taking part in the Euro have to present a Stability Programme, that is...