'The Netherlands has many financial institutions. They now have certainty,' he told a news conference in The Hague.

'The idea (behind the move) is to prevent big problems.'

Last Friday, the government announced it would nationalise the Dutch activities of Belgian-Dutch banking group Fortis in a 16.8 billion euro deal aimed at preventing the US-born financial crisis from claiming another European victim.

And on Tuesday, the finance ministry said the government would increase its bank deposit guarantee to 100,000 euros from 38,000 euros. -- AFP