Belgium GDP Grows the Most Since Q1 2025

Belgium’s economy expanded by 0.3% quarter-on-quarter in the third quarter of 2026, accelerating from a flat reading in the prior quarter and edging above market expectations of a 0.2% expansion, according to preliminary estimates. This marked the strongest quarterly expansion since the first quarter of 2025, supported by growth in the services sector (+0.4%) and construction sector (+0.2%). However, industrial activity contracted by 0.1%. On an annual basis, economic growth accelerated to 0.7%, up from 0.5% in the previous quarter.

Belgium’s economy was flat in the second quarter of 2026, marking the weakest quarterly performance since the first quarter of 2021, after expanding 0.2% in the first quarter, confirming preliminary estimates. The slowdown was mainly driven by weaker investment and softer household spending. Gross fixed capital formation fell 1.5%, reversing a 0.3% increase, largely due to an 8% plunge in public investment after a 1.4% decline in Q1. Private investment also contracted, falling 0.7% following a 0.4% increase. Household consumption growth slowed to 0.4% from 0.6%. In contrast, government consumption edged up 0.1% after declining 0.6%. On the production side, activity contracted in industry (-0.6% vs -0.2%) and construction (-0.2% vs 0.5%), while services remained in expansion, growing 0.3% compared with 0.2% previously. On an annual basis, economic growth slowed to 0.5% from 0.8%, also the weakest annual expansion since the first quarter of 2021.

Belgium's economy was flat in the second quarter of 2026, according to the flash estimate, following a 0.2% expansion in the previous quarter. Initially, the slowdown reflected weaker activity in the goods-producing sectors, with industrial output contracting 0.8% and construction declining 0.5%. In contrast, the services sector continued to provide modest support to the economy, expanding by 0.2%. On an annual basis, GDP grew by 0.5% year-on-year in the second quarter of 2026, marking the weakest annual expansion since first quarter of 2021 and easing slightly from a 0.8% growth recorded in the previous quarter.