Greece: Economy remains mired recession in Q3
November 12, 2010
In the third quarter, gross domestic product contracted a seasonally adjusted 1.1% over the previous quarter, according to the first estimate released by the Hellenic Statistical Authority (EL.STAT) on 12 November. The reading beat market expectations, which had the economy contracting 1.4%, and marked an improvement compared to the 1.7% drop recorded in the second quarter. However, the figure marked the ninth consecutive quarter of declining output and on an annual basis, the economy contracted 4.5%, which represented the worst result on record. According to EL.STAT, the deterioration was driven by plunging consumption expenditure and gross fixed investment. On the other hand, the net contribution from the external sector to overall economic growth improved somewhat in the third quarter and thus partially mitigated the negative effect of weak domestic demand. Revised and more complete data will be published on 9 December.