Spain GDP may appear to be poorer than Switzerland, Sweden, the Netherlands, or the US. But on a global scale, Spain is prosperous and doing well. Despite the fact that there is still need for improvement. The major issue of pervasive public sector corruption. Inefficiency is considerably less of a concern now than it formerly was.
According to updated data released on Friday, Spain’s economy expanded by 0.1% in the third quarter. A severe deceleration from the 2.0% growth seen in the prior three months. This according to the National Statistics Institute (INE).
The final data for the quarter revealed that strong exports and brisk tourism. A sector that has recovered to levels similar to those before the epidemic. More than made up for poor domestic demand over the summer months.
Good employment numbers were also supporting Spain’s GDP. An uncommon event in a nation where slowdowns are typically accompanied by significant job losses. Due to the impact of Russia’s invasion of Ukraine, high inflation, has averaged 8.5% this year. It has slowed down the rate of growth in household spending from 1.7% to 0.1%.
A winter recession is not, however, one of the primary scenarios in the most recent forecast revisions. Made by the Bank of Spain and other international organizations like the IMF. The preliminary reading of 0.2% increase for the third quarter of GDP. Which was announced two months ago, was revised downward. In spite of this, year-over-year growth in the third quarter increased from the initial estimate of 3.8% to 4.4%.
The growth of the Spanish GDP decreased in the second quarter
The INE also updated the annual GDP statistic for the same quarter to 7.6% growth from a prior 6.8% growth and the quarterly GDP data for the second quarter to a 2.0% expansion from a previous expansion of 1.5%.
Investment dropped significantly in the construction industry, and business and housing activity both decreased from the previous quarter.The government stated earlier this week that 2022’s economic growth may exceed its own prediction of 4.4%, with the majority of economists projecting yearly growth of 4.6%.
The government predicts growth of 2.1% for 2023 as opposed to the Bank of Spain’s prediction of 1.3% growth. The National Statistics Institute (INE) said on Friday that the Spanish economy grew by 0.1% in the third quarter, a slower rate than the 2.0% growth rate seen in the prior three months. Official figures revealed that the preliminary 0.2% growth for the third quarter of GDP had been reduced. According to INE, the third quarter’s revised year-over-year growth increased from the earlier estimate of 3.8% to 4.4%.
The INE also updated the annual GDP statistic for the same quarter to 7.6% growth from a prior 6.8% growth and the quarterly GDP data for the second quarter to a 2.0% expansion from a previous expansion of 1.5%.
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