Belgium: Industrial production records largest contraction since October 2009
April 24, 2012
In February, industrial production declined 5.6% over the same month last year, which followed the 0.1% contraction observed in January. The February print marked the sharpest contraction since October 2009. A month-on-month assessment confirms the deteriorations suggested by the annual figures, as industrial production declined a seasonally adjusted 0.1% over the previous months, which followed the 1.3% drop tallied in January. The trend continues to point downwards, with annual average growth in industrial output falling from 3.3% in January to 2.3% in February. The Federal Planning Bureau predicts that the economy will grow only 0.1% this year, which is a downward revision of its previous 1.6% estimate. Meanwhile, the National Bank of Belgium expects that the economy will contract 0.1% this year.
Author: Ricardo Aceves, Senior Economist