Eurozone Q4 GDP Growth Confirmed At 0.4%


The Euro Area economy advanced 0.4 percent on quarter in the three months to December of 2016, the same as in the previous period and in line with the second estimate. Compared with the same quarter of 2015, the bloc's economy grew 1.7 percent, also in line with earlier estimate.

From the expenditure side, the positive contribution to GDP came mainly from household final consumption expenditure (0.2 percentage points), gross fixed capital formation (0.1 percentage points), changes in inventories (0.1 percentage points), and government spending (0.1 percentage points). In contrast, net trade subtracted 0.1 percentage points from growth.

Household consumption increased by 0.4 percent (0.3 percent in Q3), gross fixed capital formation rose 0.6 percent (-0.7 percent in Q3) and government spending advanced by 0.4 percent (0.1 percent in Q3). Meanwhile, exports rose 1.5 percent (0.3 percent in Q3) and imports increasing at a faster 2 percent (-0.1 percent in Q3).

From the production side, industry grew by 0.4 percent (0.7 percent in Q3), boosted by manufacturing (0.3 percent from 0.7 percent in Q3). Construction advanced by 0.6 percent (0.4 percent in Q3). Among services, output rose for: trade, transport, accommodation and food service activities (0.7 percent from 0.4 percent in Q3); information and communication (0.6 percent from 1.1 percent); administration and other public services (0.2 percent from 0.3 percent in Q3), real estate activities (0.3 percent from 0.2 percent in Q3); professional and support service activities (0.3 percent from 0.4 percent in Q3); and agriculture, forestry and fishing (0.1 percent from -0.7 percent in Q3). By contrast, financial and insurance activities showed no growth (0.1 percent in Q3).

Among countries for which data is already available, GDP expanded at a faster pace in: Germany (0.4 percent from 0.1 percent in Q3); France (0.4 percent from 0.2 percent); Belgium (0.5 percent from 0.2 percent); Estonia (1.9 percent from 0.5 percent); Latvia (1.1 percent from 0.3 percent); Lithuania (1.4 percent from 0.5 percent); Slovakia (0.8 percent from 0.7 percent); and Slovenia (1.2 percent from 1 percent). Meanwhile, GDP growth was unchanged in Spain (at 0.7 percent) and in Austria (at 0.6 percent); and slowed in: Italy (0.2 percent from 0.3 percent in Q3); Cyprus (0.5 percent from 0.8 percent); the Netherlands (0.5 percent from 0.8 percent); and Portugal (0.6 percent from 0.9 percent).

By contrast, the Greek economy contracted 1.2 percent (0.6 percent in Q3) and the Finnish GDP showed no growth (0.6 percent in Q3).

Year-on-year, the economy advanced 1.7 percent, following a 1.8 percent expansion in the previous three months and in line with preliminary figures. 

Over the whole year 2016, GDP advanced by 1.7 percent after growing by 2 percent in 2015.

Eurozone Q4 GDP Growth Confirmed At 0.4%


Eurostat | Joana Ferreira | joana.ferreira@tradingeconomics.com
3/7/2017 12:32:54 PM