Dominican Republic: Detailed data confirm acceleration in Q3
December 30, 2012
According to a more complete set of Central Bank data, GDP grew 4.1% in the third quarter over the same period the previous year. The figure was up from the 3.8% expansion recorded in the second quarter and was in line with the preliminary estimate released on 30 November.
The Q3 reading reflected an improvement in domestic demand, whereas the external sector deteriorated slightly compared to the previous quarter. Total consumption accelerated from a 1.4% increase in Q2 to a 1.6% expansion in the third quarter, driven in particular by a strong pick-up in government consumption. In addition, fixed investment grew 11.2%, which was up from the 10.7% rise seen in Q2 and marked the highest reading recorded since the third quarter of 2010.
On the external side of the economy, exports rose 4.5% (Q2 2012: +1.7% year-on-year), while imports added 2.3% (Q2: -0.5 yoy). As imports improved slightly more than exports, the net contribution from the external sector to overall growth inched down from 0.7 percentage points in the second quarter to 0.6 percentage points in the third quarter.
Author: Armando Ciccarelli, Head of Data Solutions