We’re going to be a bit poorer in the West amid inflation
[ad_1]
Pictured here, Prime Minister Mark Rutte at a March 23rd 2020 press conference, said that there was a limit on what government could do to curb inflation.
SOPA Images
On Wednesday, Mark Rutte, the Dutch Prime Minister, stated that there’s a limit to how a government can help citizens amid rising inflation.
Rutte spoke at the World Economic Forum in Davos. Switzerland. He told Steve Sedgewick of CNBC that the Dutch government would support people living on low and middle incomes due to rising energy prices.
He said that you cannot please everyone, and the fact that the West is suffering from high energy prices, high inflation, and high fuel costs, will make it a lot harder for us to survive.
According to data from the The Netherlands Inflation Monitor, April saw a 9.6% increase in inflation. Dutch statistics body CBS. While this was slightly lower that the March 9.7% inflation rate, it was historically high.
The Dutch government made March announcements support measuresin order to ease the pressure of rising prices. For people living in areas that are low on the social assistance benefits, this included an increase of 800 euro ($852) for their one-off energy allowance.
Rutte said that rising prices will create “societal pressures” which could lead to elections in Europe.
But, he said, “People generally know that there’s a limit on what a government is allowed to do as long as it feels honest and supports those most in need.”
Rutte stated that social mobility was one of his priorities. His coalition government was formed in January. It took almost 10 months for it to be established. Rutte stated that the government was determined to end the country’s “meritocracy trap”, and other factors such as education could assist people in achieving what he calls the “Dutch Dream”.
Rutte spoke out about the European Central Bank’s policy to combat inflation in eurozone. He said that there were “ramifications from the Ukraine crisis and the energy crise which undoubtedly also have an effect on the macroeconomic figures. I can’t blame central bankers.”
[ad_2]
