Latvia: GDP growth slows marginally in Q3
November 11, 2013
In Q3, GDP expanded 4.2% over the same period last year, according to the flash estimate published by the statistical office on 11 November. The figure came in slightly below the 4.3% expansion observed in Q2 and was just barely above the 4.1% increase Consensus Forecast panelists had expected.
According to the statistical office, a hefty 10.0% expansion in construction, along with a 3.0% rise in retail sales and a 2.5% increase manufacturing drove the annual expansion.
On a quarter-on-quarter basis, GDP rose a seasonally-adjusted 1.2% in Q3, which came in below the virtually flat reading tallied in the Q2. More detailed data will be released on 9 December.
In its October Macroeconomic Developments Report, the Central Bank stated that it expects the economy to expand 4.1% this year. FocusEconomics Consensus Forecast panelists expect the economy to grow 3.8% this year, which is unchanged from last month's projection. For 2014, panelists see economic growth picking up to 4.2%, which is down 0.1 percentage points from last month's forecast.
Author: Ricardo Aceves, Senior Economist