Catalonia's economic recovery gets stronger as GDP grew by 0.6% between April and June 2014
The Catalan economy grew by 1.3% from July 2013 to June 2014. However, the economic recovery has particularly sped up and got stronger over the second quarter of 2014, when it grew by 0.6% in quarterly terms, according to data released on Wednesday by the Catalan Statistics Institute (Idescat) and the Catalan Finance Ministry. The GDP growth between April and June was higher than the one registered during the first quarter of the year, set at 0.4%. With the 0.6% registered at the end of June, Catalonia has achieved 5 consecutive quarters of posting positive figures, leaving the recession more than a year behind. Regarding economic sectors, services have led the economic recovery, posting a 1.8% annual growth at the end of the first half of 2014.
Barcelona (ACN).- The Catalan economy grew by 1.3% from July 2013 to June 2014. However, the economic recovery has particularly sped up and got stronger over the second quarter of 2014, when it grew by 0.6% in quarterly terms, according to data released on Wednesday by the Catalan Statistics Institute (Idescat) and the Catalan Finance Ministry. The GDP growth between April and June was higher than the one registered during the first quarter of the year, set at 0.4%. With the 0.6% registered at the end of June, Catalonia has achieved 5 consecutive quarters of posting positive figures, leaving recession more than a year behind. Regarding economic sectors, services have led the economic recovery, posting a 1.8% annual growth at the end of the first half of 2014.
In fact, since the 4th quarter of 2013 the services sector has presented annual increases thanks to an improvement of results from the domestic demand. The economic situation indicators available for the second quarter of 2014 show that domestic demand is on a positive trend, particularly because of private consumption and the investment in capital goods.
Furthermore, tourist demand has continued to drive the services sector's activity ahead, thanks to the increased presence of foreign tourists and the improvement of domestic tourism, as well tourism coming from the rest of Spain. Another indicator of the sector's positive evolution is that jobs are being created.
Meanwhile, the industrial sector has maintained its positive evolution that started at the end of 2012. During the second quarter of 2014, the gross added value of the Catalan industry grew by 1.4% thanks to the production improvement registered in most of the industrial sub-sectors. The industrial sector's activity is profiting from the good results of exports and the improvement of domestic demand. In addition, the increase of Catalonia's industrial production is higher than the one registered in most of the Eurozone countries.
In addition, the construction sector has posted a lower drop of its gross added value compared to previous quarters, with a 4.9% drop in the second quarter of 2014. In fact, the main indicators of the residential sector have improved during the last few months, as sales of newly-built flats and houses are growing. In addition, housing prices are beginning to rise after years of falling and the number of real estate projects approved by the technical architect professional associations is increasing. The number of new civil engineering projects being launched is also increasing, although in the current context of public sector austerity, a great increase is not expected.
Regarding the first quarter of 2014, in June Idescat issued a provisional figure posting a 0.5% growth, which has now been adjusted to a 0.4% increase registered between January and March.