Catalan economy posts 3.3% growth in third quarter of 2016
In annual terms, the Catalan economy grew by 3.3% in the third quarter of 2016 according to official data released this week by the Catalan Ministry for Economy and Tax Office and the Statistical Institute of Catalonia (Idescat). This increase is mainly thanks to the boost provided by the services sector, which saw annual growth of 3%, and the acceleration of the industrial sector, whose growth stood at 4.9%, the highest for the last six years. The quarterly growth rate, however, stood at 0.7%, one tenth lower rise than the previous quarter, but four percentage points above the Eurozone average. According to the data, there is a slight slowdown in the expansion of the Catalan economy, as annual growth in the first and second quarter of this year were 3.7% and 3.5%, respectively.
Barcelona (CNA).- The Catalan economy grew by 3.3% in annual terms during the third quarter of 2016, as reported this week by the Catalan Ministry of Economics in a statement. The quarterly rate was 0.7%, one tenth lower than the previous quarter, but four percentage points above the Eurozone average (which is 0.3%). In annual terms, the 3.3% growth is above the 1.6% average of the Eurozone. At sectoral level, especially remarkable is the acceleration of the industrial sector and the slight moderation in the services one. These data on the growth of Gross Domestic Product (GDP) and Gross Value Added (GVA) by production sectors was estimated by the Catalan Statistical Institute of Catalonia (Idescat) and the Catalan Ministry for Economy and Tax office. The figures show a slight slowdown in the expansion of the Catalan economy, as annual growth in the first and second quarter of this year were 3.7% and 3.5%, respectively.
As for the rates of change of GVA by sector, industrial sector growth stood at 4.9%, the highest figure registered in the last six years. Industrial production remained very dynamic, with a growth higher than the average for the Eurozone.
This better performance of Catalan industry has been occurring since mid-2013 and during 2016 the differential has widened. The sectoral clusters where industrial production showed a more positive performance in comparison to last year are: textiles, clothing, leather and footwear, machinery and mechanical equipment, rubber and plastics, and pharmaceuticals.
The construction sector
The construction sector also improved its annual growth rate, which stood at 3.9% in the third quarter. Building, especially housing, set the tone for this increase. Besides this, both employment and cement consumption picked up.
The services sector
In annual terms, the services sector increased by 3%, but is the only sector with results slightly lower than the previous quarter. This responds to the gradual slowdown in the economy, especially in private consumption.
However, the figures are remarkable, especially with regard to job creation (the number of people registered with the Social Security system from this sector increased by 4% in September). In the tourism sector, the influx of foreign visitors increased by 4.4% and the growth experienced in hotel overnight stays was 7%. Furthermore, the level of overnight stays in the rest of the Spanish state increased by 6.4%.