Romania: Growth picks up in Q4 2019, beats market expectations
February 14, 2020
The economy grew 4.3% year-on-year in the final quarter of 2019, well above the third quarter’s 3.0% expansion, according to a flash estimate released by the Statistical Institute on 14 February. The print exceeded analysts’ expectations. In seasonally-adjusted terms, economic growth jumped to 1.5% quarter-on-quarter (Q3: +0.6% quarter-on-quarter s.a.). However, for 2019 overall, GDP growth decelerated to 4.1%, down from 2018’s 4.4% upturn and a four-year low.
Commenting on the fourth quarter result, Valentin Tataru, an economist at ING, noted:
“On the demand side, we expect household consumption to have remained the main growth driver in the fourth quarter, as suggested by the robust retail sales acceleration of 2.6% in the fourth quarter vs the third. Investments have also likely performed well, driven by the booming construction sector, and by public spending.”
Comprehensive second-quarter national accounts will be released on 10 March.
Author: Javier Colato, Economist