Croatia: Economy contracts in fourth quarter
February 29, 2012
In the fourth quarter, GDP contracted 0.2% over the same quarter the previous year, based on a preliminary flash estimate released by the Croatian Bureau of Statistics on 29 February. The print contrasted Q3's 0.7% expansion and broke the positive trend seen in the previous two quarters. The economy expanded 0.2% in the full year 2011, however, after contracting in the previous two years. Full details of the national accounts data set will be published on 20 March. Other indicators show that overall economic activity deteriorated across the board, in particular merchandise exports, which contracted 12.3% in EUR terms in the last quarter (Q3: +3.8% year-on-year). Moreover, retail sales moderated to 4.0% growth in the fourth quarter from 4.6% in the third. Although tourist arrivals provided a positive note (Q3: +7.0% yoy; Q4: +7.7% yoy), industrial production remained flat (Q3: -2.4% yoy).