Recession Ahead?!

On November 14 and 15, the Dutch Association of Corporate Treasurers (DACT) organized its annual Treasury Fair. With an all-time high attendance of 650 participants and a closing masterclass by dr. Linda Yueh, Fellow in Economics at Oxford University and BBC broadcaster, the Fair was again a huge success.

On the evening of November 14, struggling through traffic jams, the Dutch corporate Treasury community made its way to Noordwijkerhout. In spring, a picturesque village surrounded by the infamous tulip fields, but in autumn Noordwijkerhout becomes the host for DACT’s annual Treasury Fair.

Thursday night was all about catching up with peers, long-lost former colleagues and friends while enjoying beer, wine and Italian food in a relaxed atmosphere. The next day at 9 a.m. sharp the first two workshops kicked off, followed by several more rounds of workshops and product demonstrations during the day.

One of the common threads throughout the day was sustainability. As a corporate Treasurer, sustainability is no longer a choice, but a must. Interesting cases were presented around sustainability on both the financing and the investment side of our business. An interesting take-away was that you do not need to wait for a refinancing in order to embed ESG-criteria in your credit facility: it can also be applied to an existing facility. Another important point which was raised concerned the continuous discussion and alignment with your internal sustainability office as it is the key to success for a sustainable finance program.

On a different topic, a specific one-liner stuck to mind: “The IBOR transition is larger than the introduction of the Euro.” A statement made by one of the representatives of the ECB working group on the IBOR transition while outlining the challenges and issues that we will face the coming months.

In the afternoon, it was time for the famous masterclass which is a tradition at DACT’s Treasury Fair. This year the renowned economist, broadcaster and writer, Dr. Linda Yueh, was on stage where she took her audience on a trip around the global to discuss all relevant macroeconomic developments and their impact on the years to come. A central topic touched upon was the economic slowdown many countries and regions are currently experiencing. Her perspective was well-received by the audience, raising several questions. However, one cannot neglect the pessimistic outlook at some points during Dr. Yueh’s presentation. Most noticeably when she suggested that a trade war (amongst others) was a likely contender to create a recession from an economic slowdown.

Let’s hope the United States and China change their minds before we get to that tipping point!

Erwin Bastianen
DACT

Articles


Photo from United We Stand

United We Stand

The 2025 annual EACT Summit, held in Brussels in April, served as a timely reminder that treasurers across the community possess an increasingly welcome voice in the face of adversity.

Read
Photo from Main Results of the 2025 EACT Treasury Survey

Main Results of the 2025 EACT Treasury Survey

The survey aims to identify challenges corporate treasurers of MNCs are facing and the technological innovations they intend to implement. It also aims to recognize evolutions over time and after crises.

Read
Photo from The Guiding Principles of Corporate Treasury – 4th Edition Now in English

The Guiding Principles of Corporate Treasury – 4th Edition Now in English

The fourth edition of the publication, describes basic requirements and provides guidance on establishing and developing the treasury function.

Read
Photo from How Treasury is Integrated into Sustainability Reporting

How Treasury is Integrated into Sustainability Reporting

Starting in 2025, the CSRD is expected to become mandatory for all large companies under accounting regulations. But how is treasury involved in sustainability reporting?

Read
Photo from Intra-Group Financing Takes Hold Despite Constraints

Intra-Group Financing Takes Hold Despite Constraints

Centralized treasury management optimizes efficiency, mitigates financial risks, and enhances liquidity control, despite complexities, costs, and tax risks, offering substantial long-term benefits through streamlined operations and strategic coherence.

Read