Romania: Economic growth picks up in Q3
December 4, 2015
In the third quarter of 2015, the economy expanded 3.6% over the same period of the previous year, according to more detailed data released on 4 December. The figure marked a slight acceleration compared to the 3.4% expansion observed in the second quarter and was in line with the preliminary estimate. On a quarter-on-quarter basis, GDP rose 1.4% in seasonally-adjusted terms in Q3, which was up from the flat reading tallied in Q2 and marked the largest gain in three quarters.
Private consumption grew 6.6% in the third quarter, which was stronger than the 5.9% increase observed in Q2 and marked the largest expansion since Q3 2008. In addition, government spending accelerated from Q2’s soft 0.4% increase to a 4.0% rise in Q3. Growth in fixed investment moderated from a 7.9% rise in Q2 to a 4.2% expansion in Q3.
On the external side of the economy, exports decelerated from a 4.2% increase in Q2 to a weaker 0.9% expansion in Q3, marking the slowest pace of growth in nearly three years. Imports dropped from 7.8% growth in the second quarter to a 3.1% rise in the third quarter. Because exports slowed less than imports, the external sector’s net contribution to overall economic growth advanced from minus 5.3 percentage points in Q2 to minus 2.1 percentage points in Q3.