Portugal: GDP growth eases in final quarter of 2016
February 14, 2017
Portugal’s GDP increased 0.6% in Q4 2016 from Q3, according to preliminary figures published on 14 February by the National Statistics Institute (INE). The reading was down from the 0.8% growth recorded in Q3. On a year-on-year basis, however, growth reached 1.9% in Q4, up from 1.6% in Q3 and was the highest reading in more than six years.
The preliminary report attributes the acceleration to an increase in domestic demand related to an investment upturn. Meanwhile, the external sector was a drag on growth this quarter, a swing into negative territory from a quarter earlier. GDP growth in 2016 fell to 1.4% from 1.6% in 2015.
Author: Christopher Thomas, Economist