2016 Annual Report Working on trust DNB seeks to safeguard financial stability and thus contributes to sustainable prosperity in the Netherlands. As an independent central bank, supervisory authority and resolution authority, DNB works in tandem with its European partners to achieve: – price stability and a balanced macroeconomic development in Europe; – a shock-resilient financial system and a secure, reliable and efficient payment system; and – strong and sound financial institutions that meet their obligations and commitments. By issuing independent economic advice, DNB strengthens policies aimed at its primary targets. De Nederlandsche Bank N.V. 2016 Annual Report Presented to the General Meeting of Shareholders held on 29 March 2017. Central bank and prudential supervisor of financial institutions © 2017 De Nederlandsche Bank N.V. The information in this document may be freely distributed and reproduced for educational and non-commercial purposes, provided the source is acknowledged. PO Box 98, 1000 AB AMSTERDAM Westeinde 1, 1017 ZN AMSTERDAM Tel. +31 20 524 91 11 www.dnb.nl Email:
[email protected] ISSN: 1566-7200 Contents Organisation and governance 5 Introduction by the President 13 1 Towards broad-based growth 1.1 Introduction 31 1.2 The income position of households 31 1.2.1 Favourable income trends 32 1.2.2 Income variances between households 32 1.2.3 Economic significance of balanced income development 34 1.3 Public and private investment 35 1.3.1 Investement and its effect on economic growth 35 1.3.2 Necessity and scope for public