Italy: GDP growth accelerates slightly in Q1
May 31, 2016
In Q1 2016, GDP recorded 0.3% growth over the previous quarter in seasonally- and working-day adjusted terms, according to more detailed data released by the National Statistics Office (ISTAT) on 31 May. The reading matched the preliminary estimate and came in above the 0.2% rise tallied in Q4. In addition, the figure marked the highest reading since Q2 2015.
Private consumption remained stable at Q4’s 0.3%. Government consumption decelerated from a 0.6% increase to a weaker 0.2% rise. Fixed investment growth also decreased from Q4’s 0.8% to 0.2% in Q1. GDP growth received a positive impetus from higher inventories.
On the external side of the economy, exports swung from a 1.2% expansion in Q4 to a 1.5% fall in Q1, which marked the worst result since Q4 2012. Imports dropped 0.9% in Q1 (Q4: +0.9% quarter-on-quarter). As a result, the external sector’s net contribution to overall growth fell from plus 0.1 percentage points in Q4 to minus 0.2 percentage points in Q1.
In annual terms, the economy grew 1.0% in Q1, which was marginally below Q4’s 1.1% rise and was in line with the preliminary estimate.