Foreign direct investment in the Netherlands has rebounded, outstripping capital repatriations. In the first half of 2026, foreign companies and investors invested €72 billion in the Netherlands, mainly from the United States and from Germany. Outward direct investment from the Netherlands also rose, suggesting that a large proportion of the inward investment is being channelled abroad. This emerges from a new data release by De Nederlandsche Bank (DNB).
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Direct investment is a measure of a country’s international financial interconnectedness. The Netherlands is one of the world’s largest recipients and sources of direct investment. This is because multinational corporations often use Dutch entities as a link in their international corporate structures. The various entities positioned under a multinational corporation are linked to one another through direct investment. In most cases, this involves conduit capital, which, on a net basis, adds no value to the Dutch economy.
At De Nederlandsche Bank, we independently compile statistics on the Dutch financial sector and economy. This article is based on these statistics. More information on our statistics and all dashboards can be found on our Statistics homepage.
Global direct investment has increased worldwide in recent years, according to international data from UNCTAD. Nevertheless, both the Netherlands’ inward and outward Dutch direct investment have fallen until recently. More than €1,300 billion in foreign investment capital flowed out of the Netherlands as prior inward investment was repatriated. Outward direct investment also fell sharply during this period.
This would seem to be linked primarily to tax law changes aimed at reducing financial incentives for multinational corporations to channel funds through the Netherlands using complex corporate structures. This mainly concerns direct investment in special purpose entities (SPEs), set up, for example, to facilitate financial arrangements designed to reduce the tax burden. SPEs are often referred to as ‘letterbox companies’.
Foreign direct investment covers equity interests of more than 10% acquired by investors resident in one country in a company based in another country. Investors typically enter into long-term relationships with the investee company, gaining influence over its policies.
Inward foreign investment refers to investment by foreign parties in Dutch businesses, whereas outward direct investment refers to investment by Dutch entities abroad. Both inward and outward investment may be negative if, on balance, investors withdraw more capital from their foreign subsidiaries than they invest.
The United States and Luxembourg account for the largest divestment volume. Since 2018, investors resident in these countries have repatriated more than €1,000 billion, over half of which concerned SPEs. These two countries thus accounted for over 77% of total capital outflows during this period. Nevertheless, with a combined investment of €990 billion, both countries still rank among the five largest investors in our country, alongside Germany, the United Kingdom and Singapore.
A significant proportion of investment from the United States consists of direct investment in SPEs. In recent years, both national and international measures have been introduced to curb tax avoidance This could be the reason for the withdrawal of these investments.
The divestments from Luxembourg relate both to the non-financial sector (in particular the information and communications sector) and to the financial sector (holding companies).
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