GDP in Guatemala
Guatemala - GDP
GDP growth slips in Q2
The economy decelerated in Q2 on the heels of a mild Q1. GDP growth came in at a nearly seven-year low, expanding only 2.3% over the same quarter a year earlier, and below the 3.0% year-on-year expansion recorded in Q1. The deceleration came as result of a contraction in exports and significantly weaker fixed investment growth.
Underpinning growth in Q2 was a subdued rise in household spending, which expanded 3.2% (Q1: +3.4% year-on-year) and robust remittance inflows, especially from the United States. Moreover, government spending expanded by a marginal 0.2% as long-promised public spending on education and infrastructure likely came online amid the government’s looser fiscal stance, contrasting Q1’s contraction (-3.1% yoy). Fixed investment growth, on the other hand, slowed sharply to 2.8% in Q2 after a strong showing a quarter earlier (Q1: +6.3% yoy).
The external sector dragged even more heavily on growth in Q2. Behind the poor showing was a 0.8% contraction in exports, which contrasted a solid expansion a quarter earlier (Q1: +5.5% yoy). Imports, on the other hand, remained strong at 4.0% (Q1: +5.0% yoy). Taken together, the external sector’s contribution to overall growth in the quarter was minus 1.9 percentage points (Q1: minus 0.6 percentage points).
Despite unremarkable economic growth in H1, the Central Bank expects GDP growth of between 3.0% and 3.8% this year and between 3.0% and 4.0% next year. FocusEconomics Consensus Forecast panelists see GDP growing 3.7% in 2017, which is up 0.3 percentage points from last month’s forecast. For 2018, our panelists expect GDP growth to clock in at 3.4%, which is down 0.1 percentage points from last month’s forecast.
Guatemala - GDP Data
|Economic Growth (GDP, annual variation in %)||3.0||3.7||4.2||4.1||3.1|
5 years of economic forecasts for more than 30 economic indicators.
Guatemala GDP Chart
Source: National Statistical Institute and FocusEconomics calculations.
|Exchange Rate||7.35||0.22 %||Oct 19|
Get a sample report showing all the data and analysis covered in our Regional, Country and Commodities reports.
Start Your Free Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.
October 9, 2017
Consumer prices fell 0.55% in September from a month earlier, intensifying from August’s 0.30% decline.
October 6, 2017
The economy decelerated in Q2 on the heels of a mild Q1.
October 6, 2017
Remittances from workers abroad grew 10.7% in September from the same month a year earlier, reaching USD 672.9 million and marking a slowdown from August’s 14.3% expansion. In the 12 months through September, remittances increased to an all-time high USD 8.0 billion.
October 6, 2017
Economic activity expanded 3.0% in August from the same month of last year, according to the monthly indicator for economic activity (IMAE, Índice Mensual de la Actividad Económica).
September 8, 2017
In August, remittances from workers abroad increased 14.3% from the same month last year, reaching USD 707.8 million and marking an slowdown from July’s 23.9% expansion. In the 12 months up to August, remittances increased to an all-time high of USD 7.9 billion.