Spain: Recent data corroborate largest GDP expansion in six years
April 30, 2014
GDP expanded 0.4% over the previous period in seasonally-adjusted terms in Q1 according to preliminary data released by the National Statistics Office (INE) on 30 April. The increase, which matched the Bank of Spain's estimate, followed the 0.2% expansion recorded in Q4. The Q1 print marked the largest expansion since Q1 2008.
GDP rebounded on an annual basis, expanding 0.6% in Q1, which contrasted the 0.2% drop recorded in the previous quarter and represented the largest expansion since Q2 2008. More detailed data will be released on 29 May.
The Central Bank expects the economy to grow 1.2% in 2014 and to accelerate to a 1.7% expansion in 2015. Moreover, the government announced that the Spanish economy would grow 1.2% this year before accelerating to 1.8% in 2015. FocusEconomics Consensus Forecast panelists expect GDP to expand 1.0% in 2014, which is up 0.1 percentage points from last month's forecast. In 2015, panelists expect the economy to expand 1.5%.