Luxembourg: GDP growth records fastest upturn since Q4 2021 in Q3
GDP growth accelerated to 3.0% year on year in the third quarter from 1.7% in the second quarter. Q3’s reading marked the strongest growth since Q4 2021.
The upturn reflected improvements in public spending, fixed investment and exports. Government consumption improved to a 4.8% increase in Q3 (Q2: +2.5% yoy). Meanwhile, fixed investment improved, growing 3.4% in Q3, up from 2.4% in the previous quarter. Meanwhile, private consumption growth declined marginally from 5.5% year on year in Q2 to a 5.4% expansion in Q3. Exports of goods and services increased 1.5% annually in the third quarter, which was above the second quarter’s 0.3% expansion. In addition, imports of goods and services growth sped up to 1.9% in Q3 (Q2: +0.3% yoy).
On a seasonally adjusted quarter-on-quarter basis, economic activity bounced back, growing 1.1% in Q3, contrasting the previous quarter’s 0.5% decrease. Q3’s reading marked the best result since Q4 2021.