In the first quarter, GDP contracted 0.8% over the same period last year, according to revised data from 20 June. The contraction was slightly more severe than the 0.6% decline observed in Q4 but a notch better than the 0.9% drop reported in the 27 May flash estimate. The Q1 GDP outturn marked the eighth negative reading in the last nine quarters, confirming that the economy remains deeply mired in recession. The first quarter downturn was mainly driven by a sharp contraction in the external sector and a drop in fixed investment, which has been reporting losses since the first quarter of 2009. Private consumption (Q1: -0.1% year-on-year; Q4: +1.2% yoy) and government spending (Q1: -0.9% yoy: Q4: +0.6% yoy) contracted over the same quarter the previous year, while gross fixed capital formation declined less markedly (Q1: -6.7% yoy; Q4: -8.0% yoy). Nevertheless, domestic demand improved somewhat compared to the previous quarter (Q1: +0.6% year-on-year; Q4: -3.7% yoy) on the back of strong stockpiling. Exports of goods and services swung from a 10.8% expansion in Q4 to an 11.1% drop in Q1. Imports also registered losses and declined 5.3% over the same period last year (Q4: +1.1% yoy). As a result, the net contribution from the external sector to overall economic growth plummeted from a 3.4 percentage-point contribution in the fourth quarter to a 1.1 percentage-point detraction in the first.
Economy remains deeply mired in recession
June 20, 2011
Looking for forecasts related to GDP in Croatia? Download a sample report now.
Croatia Economic News
October 17, 2016
In September, consumer prices increased 1.0% from the previous month, which contrasted August’s 0.2% drop and marked the highest reading in four years.
September 29, 2016
After months of political conflict had led the government to collapse in June, snap elections were held in Croatia on 11 September.
September 29, 2016
In August, industrial output rose 2.5% over the same month of last year in seasonally and working-day adjusted terms, which represented an acceleration over July’s weaker 1.2% increase.
September 15, 2016
In August, consumer prices declined 0.2% over the previous month, which was a softer drop than July’s 0.7% decrease.
September 2, 2016
In July, industrial output rose 1.2% over the same month of last year in working-day adjusted terms, which represented a significant slowdown from June’s 4.1% increase and the lowest result in seven months.