According to World Economic Forum's Global Competitiveness Report 2017-2018, financial market development in Netherlands is scored 4.6 out of maximum 7.0 and ranked 28th out of 138 analysed economies, trustworthiness and confidence of financial market is scored 4.6 (50th place).
Chart 1. Financial Market Development in Netherlands. Source: WEF.
Soundness of banks is scored 5.4 bringing Netherlands into the 41st place.
Chart 2. Soundness of Banks in Netherlands. Source: WEF.
Banks in the Netherlands are mainly focused on the following areas:
Currently there are 99 credit institutions operating in Netherlands.
In 2018 consolidated banking assets in the Netherlands were 2,454.97 bln EUR. The consolidated banking assets' evolution is shown at Chart 3 below.
Chart 3. Consolidated banking assets in Netherlands.
Recent structural changes (2013 - 2018) of the banking sector of Netherlands are summarised in Table 1.
|Number of Opened Banks||4||7||7||4||4||4|
|Number of Closed Banks||10||38||17||111||5||3|
Table 1. Recent structural changes in the banking sector of Netherlands.
The list of the most recently opened banks in Netherlands is provided in Table 2.
|Barclays Bank Ireland Plc, Netherlands branch||November 2018|
|J.P. Morgan AG Amsterdam Branch||October 2018|
|J.P. Morgan Bank Luxembourg S.A.||June 2018|
|Hoist Finance AB||March 2018|
|Adyen NV||July 2017|
|National Westminster Bank Plc.||May 2017|
|BNP Paribas S.A.||February 2017|
|CACEIS Bank, Netherlands Branch||January 2017|
|UBS Europe SE, Netherlands Branch||December 2016|
|J.P. Morgan Europe Limited||October 2016|
Table 2. The most recently opened banks in Netherlands.
All the credit institutions operating in Netherlands can be classified into several categories. Table 3 summarises the number of banks in each category.
|Category||Number of Banks|
|Branches of foreign banks||52|
There are 52 branches of foreign banks from 12 different countries in Netherlands. Table 4 shows 10 countries having the biggest number of branches in Netherlands.
|Country of Origin||Number of Branches|
|Korea, Republic of||1|
Deposit guarantee scheme is a financial stability mechanism implemented in many countries to protect bank depositors against the loss of their deposits in the case when a bank is unable to meet its obligations to depositors by compensating certain deposits held by depositors of the bank. This compensation is paid out from the contributions which banks have made into a deposit guarantee fund.
From a depositor's point of view it is important to know:
All these details about deposit guarantee scheme in Netherlands are summarised in Table 5.
Table 5. Deposit guarantee scheme in Netherlands.
EEA stands for European Economic Area and consists of all EU member states plus Liechtenstein, Norway and Iceland.
Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.
Local currency (Euro) deposit ceiling for Netherlands is set to Aaa (prime), foreign currency deposit ceiling is Aaa (prime).
Chart 4. Deposit Rates in Netherlands. Source: ECB.