Spain GDP Growth Confirmed at 0.7% in Q1



The Spanish economy expanded 0.7 percent on quarter in the first three months of 2018, the same as in the previous period and in line with the preliminary reading. It marks the 18th straight quarter of solid growth after a five-year financial crisis that ended in 2013.

Household spending went up 0.7 percent, slightly higher than 0.6 percent in the last three months of 2016 and public expenditure rose 0.5 percent, following a 0.4 percent gain in Q4. Gross fixed capital formation advanced 0.8 percent after 0.7 percent in Q4, mainly driven by contruction (2.4 percent compared to 1 percent) and intellectual property products (1 percent compared to -0.5 percent) while investment in equipment goods declined (-1.6 percent compared to 0.9 percent). Both exports went (1.3 percent compared to 0.3 percent) and imports (1.3 percent compared to 0 percent) rebounded. 

Year-on-year, the GDP expanded 3 percent, better than a preliminary reading of 2.9 percent. Still, it is the lowest growth rate in a year. Domestic demand made the biggest contribution (2.8 percentage points), although it was lower than in the previous quarter (3.2 percentage points). The external demand contributed 0.2 percentage points to growth, after subtracting 0.1 percentage points in the previous period.

Spain GDP Growth Confirmed at 0.7% in Q1


INE | Joana Taborda | joana.taborda@tradingeconomics.com
5/31/2018 7:28:43 AM