Sweden: Economic growth slows in the third quarter
November 29, 2012
In the third quarter, GDP expanded 0.5% over the previous quarter in seasonally and working-day adjusted terms, which was below the 0.7% rise registered in the second quarter. However, the reading was above market expectations that had GDP expanding 0.2%. On an annual basis, the economy grew 0.7% in the third quarter, which was below the 1.3% rise seen in the second. On the domestic side, private consumption grew 0.2% (Q2: 0.0% quarter-on-quarter), while government consumption expanded 0.5% (Q2: +0.2% qoq). Gross fixed capital formation, on the other hand, fell 1.1% (Q2: -0.4% qoq). Exports of goods and services rose 0.1% (Q2: +1.3% qoq), whereas imports contracted 0.6% (Q2: +0.4% qoq). As a result, the external sector's net contribution to overall economic growth fell from 0.5 percentage points to 0.3 percentage points.