The Spanish economy demonstrated consistent growth for the second consecutive quarter during the final three months of the year ending in December, as reported by preliminary estimates from the INE statistical office on Wednesday.
During this period, the gross domestic product (GDP) increased by 0.8 percent on a quarter-on-quarter basis, mirroring the growth rate observed in the preceding third quarter. Initial forecasts had anticipated a slight deceleration to 0.6 percent growth.
Analyzing the GDP from an expenditure perspective reveals that domestic demand played a significant role, contributing 1.2 percentage points to the growth, while external demand detracted 0.4 percentage points. Household consumption experienced a 1.0 percent increase, and government expenditures saw a rise of 0.4 percent. The statistics indicated that gross capital formation surged by 2.8 percent compared to the previous September quarter.
The exports of goods and services grew modestly by 0.9 percent, whereas imports experienced a slightly higher increase of 1.3 percent.
Moreover, the data highlighted that, with the exception of the primary sector, all principal sectors of the economy achieved positive growth: industry expanded by 0.3 percent, services by 1.1 percent, and construction advanced significantly by 2.6 percent.
On an annual basis, economic growth persisted at a steady rate of 3.5 percent, surpassing the projected increase of 3.2 percent. This growth was driven predominantly by domestic demand, which added 3.5 percentage points to the annual GDP increase, while the impact of external demand was negligible.
In the year 2024, the Spanish economy expanded by 3.2 percent, a notable improvement from the 2.7 percent growth recorded in the previous year, 2023.
