GDP grew 2.8% in the first quarter of 2017

  • ECO News
  • 15 May 2017

The Portuguese economy grew 2.8% in the first quarter of 2017, disclosed Statistics Portugal (INE). Exports grew more than imports and investment accelerated.

The Portuguese economy grew 2.8% in the first quarter of 2017, acording to the data disclosed Statistics Portugal (INE) this Monday. This is the best performance since the fourth quarter of 2007, surpassing all forecasts.

According to Statistics Portugal, in comparison to the last quarter of 2016, the Portuguese economy had a 1% growth. During last year’s fourth quarter, national economy had grown 2% when making a year-on-year comparison.

Analysts expectations for the GDP in the first quarter were for an increase between 2.4% and 2.7% in a year on year basis, but the final number came ahead of all the forecasts.

GDP accelerates to its fastest pace since 2007

Source: Statistics Portugal (INE)

INE brings forward that “the acceleration of GDP was due to the increase of the contribution of net external demand, which shifted from negative to positive”. This contribution was possible because exports of goods and services grew more than imports.

At the same time, “domestic demand contribution remained positive, although lower than in the previous quarter”. Statistics Portugal estimates a deceleration in private consumption, “while investment accelerated”.