Eurozone Q3 GDP Growth Confirmed At 0.3%


The Euro Area economy advanced 0.3 percent on quarter in the three months to September of 2016, the same as in the previous period and in line with earlier estimates. Household consumption and public spending were the main drivers of growth while fixed investment slowed sharply and net external demand contributed negatively.

On the expenditure side, household consumption increased by 0.3 percent (+0.2 percent in Q2) and government spending advanced by 0.5 percent (+0.4 percent in Q2). Meanwhile, gross fixed capital formation rose at a slower 0.2 percent (+1.2 percent in Q2), and changes in inventories added 0.1 p.p. to expansion (-0.2 p.p. in Q2). The contribution of external trade was negative, with exports rising 0.1 percent (+1.2 percent in Q2) and imports increasing at a faster 0.2 percent (+1.2 percent in Q2).

On the production side, industry grew by 0.4 percent (+0.1 percent in Q2), boosted by manufacturing (+0.3 percent from -0.1 percent in Q2). Construction advanced by 0.5 percent (-0.1 percent in Q2). Among services, output rose for: trade, transport, accommodation and food service activities (+0.4 percent, the same as in Q2); administration and other public services (+0.3 percent from +0.2 percent in Q2), real estate activities (+0.1 percent from +0.2 percent in Q2); professional and support service activities (+0.3 percent from +1 percent in Q2); and financial and insurance activities (+0.1 percent from -0.4 percent in Q2). By contrast, output fell for agriculture, forestry and fishing (-0.6 percent, after showing no growth in Q2).

Year-on-year, the economy advanced 1.7 percent, following a 1.6 percent expansion in the previous three months and better than preliminary figures of 1.6 percent. 

Eurostat | Joana Ferreira | joana.ferreira@tradingeconomics.com
12/6/2016 10:35:27 AM