Lithuanian economy grew 1.3% on quarter in the three months to December 2018, less than an earlier estimate of a 1.6% growth and compared to an upwardly revised 0.4% rise in the previous period, the second estimate showed. It is the strongest growth since the fourth quarter 2016. Gross fixed capital formation jumped 11.7%, after showing no growth in Q3, led by a rebound in other machinery, equipment and weapon systems (5.6% from -11.2%) and faster rises in other buildings and structures (1.7% from 0.9%) and intellectual property products (6.5% from 0.6%). On the other hand, households’ consumption fell 0.1% (from 1.3% in Q3) and government spending showed no growth (from 0.3%). Meanwhile, net trade contributed negatively to growth, as exports went up 0.4% (from 1.2% in Q3) while imports climbed at a faster 1.5% (from 1.7% in Q3). Year-on-year, the GDP advanced 3.7%, below a first reading of 3.9%, and compared to a 2.6% rise in the third quarter. GDP Growth Rate in Lithuania averaged 1.05 percent from 1995 until 2018, reaching an all time high of 4.80 percent in the first quarter of 2003 and a record low of -13.10 percent in the first quarter of 2009.
GDP Growth Rate in Lithuania is expected to be 0.90 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate GDP Growth Rate in Lithuania to stand at 0.50 in 12 months time. In the long-term, the Lithuania GDP Growth Rate is projected to trend around 0.60 percent in 2020, according to our econometric models.