Croatia: GDP growth speeds up slightly in Q3
December 9, 2016
GDP in Croatia expanded 2.9% in Q3 over the same quarter last year, according to more detailed figures released by the Croatian Bureau of Statistics on 7 December. The reading was slightly up from the 2.8% growth in Q2, represented the highest result since Q2 2008 and matched the preliminary estimates.
The acceleration in Q3 came on the back of faster growth in private consumption and a positive contribution from the external sector, while government consumption and fixed investment, in particular, decelerated.
Private consumption increased 3.4% over the same quarter last year, which was up from Q2’s 3.1% growth as well as the highest rate since Q1 2008. Government consumption expanded 2.1% annually, which represented a slowdown compared to Q2’s 2.5% growth. Fixed investment decelerated substantially, rising 2.9% and so deteriorating from Q2’s 6.5% annual increase. The reading represented the lowest result in one year.
On the external side of the economy, exports of goods and services grew 6.3% in Q3, speeding up from the 4.0% expansion recorded in Q2, while imports decelerated and rose 6.0% (Q2: +7.3% year-on-year). As imports decelerated while exports grew more rapidly, the external sector’s net contribution to overall economic growth improved in Q3, swinging from minus 1.7 percentage points in Q2 to plus 1.4 percentage points in Q3, marking the best result in one year.