Croatia: Q3 GDP records fastest growth rate since Q2 2008
November 27, 2015
GDP expanded a solid 2.8% in Q3 over the same quarter of last year, according to preliminary figures released by the Croatian Bureau of Statistics on 27 November. The reading was more than double the 1.2% growth tallied in Q2. Moreover, this represented the fourth consecutive expansion in annual terms and the best result since Q2 2008.
The expansion in Q3 likely reflected improvements in both domestic demand and in the contribution from the external sector. Private consumption increased 1.4% over the same quarter of the previous year (Q2: +0.6% year-on-year), and government spending grew 0.6% (Q2: +0.4% yoy). Fixed investment rose 2.2%, which was above Q2’s 0.8% annual increase.
On the external side of the economy, exports of goods and services grew 8.0% in Q3, which was below the 10.2% growth recorded in Q2, while imports grew 8.1% (Q2: +6.9% yoy). The external sector’s net contribution to overall economic growth improved from plus 1.0 percentage points in Q2 to plus 1.6 percentage points in Q3.
Author: Eric Denis , Economist