The Ministry of Finance has published the Cabinet view of the future of the financial sector (in Dutch). Various elements of the report are:
- In the future financial institutions must be solid, responsible and transparent; responsibility and soundness must be the norm again.
- The supervision of the financial sector must be improved. The government envisages stricter capital requirements, mandatory remuneration principles, increased attention to the stability of the financial system as a whole, strengthening financial reporting, an improved system of supervision and increased international regulation. On various points international arrangements are currently being made.
- The government needs to ensure that the interests of the public are safeguarded. The government intends to limit its financial risk and potential financial risk as well as the risk to investors, and improve its crisis management instruments. In the short term it will modernise the deposit guarantee scheme.
DNB publishes “The Dutch Financial System; An Investigation of Current and Future Trends” At the same time, De Nederlandsche Bank (DNB) has published a report on changes to the Dutch financial system. The most important conclusions of this report are:
- In retail banking it is conspicuous that consumers respond to the financial crisis by frequently changing their provider. The competition between retail banks has been impaired by the current deposit guarantee scheme, which does not make a distinction between high-risk banks and those that are less high-risk.
- It is likely that Dutch companies will always have adequate access to corporate and investment banking products, despite the recent changes in the Dutch banking sector. It is likely that large companies will increasingly use foreign banks.
- Dutch life insurers are under pressure as the result not only of the low long-term interest rates, but also of changes to legislation such as the introduction of banksparen, a tax-efficient blocked bank savings account providing a mortgage or pension sum.
- Both Dutch pension funds and asset management companies would benefit from increased scale.