Press release 17/05/2011
The GDP of the Basque Country registered 0.9% year-on-year growth in the first quarter of 2011
Growth was up 0.3% on the previous quarter
The GDP of the Basque Country registered growth of 0.9% in the first quarter of 2011, compared to the same period of 2010, according to EUSTAT data. Year-on-year growth was one tenth up on the previous quarter.
This figure stood at 0.8% for the Spanish economy, 2.5% for European-27 overall and for the Euro-16 zone and 2.3% for the US economy.
With respect to the previous quarter, the GDP of the Basque Country registered positive growth of 0.3%, one tenth up on the previous quarter. This quarter-on-quarter variation was similar to that registered for the Spanish economy, one tenth lower than for the USA (0.4%) and five tenths under the figure for the EU-27 and the Euro-16 Zone, both of which posted quarter-on-quarter growth of 0.8%.
From the point of view of supply, year-on-year growth in this quarter was basically underpinned by the better performance by the industrial and service sectors. The trend was positive in the services sector, although rather more slower than in the previous quarter, with market performing better than non-market services. However, the activity of the Construction sector continued in its negative trend, but more moderately than in the previous quarter.
The primary sector recorded downturns in growth both in year-on-year terms (-14.1%) and compared to the previous quarter (-26.5%).
The industrial sector, after three quarter of positive yet weak growth, performed well and obtained a year-on-year rate of 3.0%, which in quarter-on-quarter terms meant growth of 0.9%.
This year-on-year growth is one point and four tenths up on the previous quarter in year-on-year terms and four tenths higher than the quarter-on-quarter rate. After the intense year-on-year and quarter-on-quarter downturns noted in 2009 and the small growth throughout 2010, the industrial sector posted higher growth rates in the first quarter of 2011.
The Construction sector again posted negative year-on-year growth (-4.4%), even though it was one point and eight tenths down on the previous quarter. Both building and civil works were responsible for this decrease. The quarter-on-quarter performance returned to negative rates falling two points and nine tenths.
The overall performance of the Services sector was positive, but showed a certain slowing down in its year-on-year and quarter-on-quarter rates. In year-on-year terms, it grew by 1.9%, one tenth down on the previous quarter, and its quarter-on-quarter performance was 0.1%, compared to the growth of six tenths of the previous quarter.
In the first quarter of 2011, Market Services posted year-on-year growth of 1.0% compared to 0.9% in the previous growth. Quarter-on-quarter growth continued to be positive and stood at 0.2%, even though it was slower than in the fourth quarter of 2010 (0.7%).
Non-Market Services, linked to Public Administration, posted a moderate performance with year-on-year growth of 0.9%, one point and one tenth down on the previous quarter. The quarter-on-quarter rate was down 1.4% on the positive trend of the previous quarter.
The performance of the sector aggregates led to an increase of the Value Added up to 0.9% in year-on-year terms, which is up three tenths on the rate posted for the fourth quarter of 2010. In quarter-on-quarter terms, there was also improvement of three tenths, up from a quarter-of-quarter rate of 0.2% in the fourth quarter of 2010 to 0.5% in the first quarter of 2011.
The most notable aspect of the economic performance in terms of Demand was the strong figures posted by the foreign sector, while Internal Demand was up 0.3%, two tenths up on the figure for the previous quarter.
Spending on Final Household Consumption (Private Consumption) posted positive year-on-year growth (0.8%), down on the previous quarter and specifically four tenths lower than in the previous quarter. This shrinkage could also be seen in quarter-on-quarter terms, with growth of 0.2% compared to 0.5% in the fourth quarter of 2010.
Public Consumption (Spending on Final Public Sector Consumption) continued to post a more moderate performance. In the first quarter of 2011, the year-on-year rate was 1.3%, slightly up on the previous quarter, and the quarter-on-quarter rate fell from -0.6% in the fourth quarter of 2010 to -1.5% in the first quarter of 2011.
The performance of Gross Capital Formation (Investment) was more negative in the last quarter, down 1.8% in year-on-year terms, even though it was more moderate, one point and four tenths down on the previous quarter. The quarter-on-quarter performance reflected zero growth on the previous quarter.
The performance of both Private and Public Consumption and of the Gross Capital Formation, along with their relative weightings, determines the performance of Internal Demand, which posted a slightly positive rate (0.3%) in year-on-year terms. This rate was two tenths better to the one posted for the previous quarter. Quarter-on-quarter growth (0.6%) was five tenths up on the figure for the previous quarter.
As far as the foreign sector was concerned, the dynamics of the previous quarter continued, with a positive contribution to the performance of the GDP. In year-on-year terms, exports continued to perform better (13.7%) than imports (12.0%), which resulted in a stronger foreign balance, which meant that GDP performed better on Internal Demand.
With respect to employment, job figures shrank by one tenth in year-on-year terms and the quarter-on-quarter rate was down four tenth.. Even though it continued to be negative, the year-on-year rate for this quarter was four tenths better than that posted for the four tenth quarter of 2010. In absolute terms, these rates mean a loss of around 800 jobs with respect to the same period of the previous year.
By sectors, Agricultural, Industry and Construction lost jobs both in terms of the year-on-year and quarter-on-quarter figures, while the sector services posted a stronger year-on-year performance.
With reference to the evolution of GDP by provinces, Álava posted the best performance in year-on-year rates, with growth of 1.3%, followed by Bizkaia (1.0%) and Gipuzkoa (0.7%). In quarter-on-quarter terms, Álava posted a rate of 0.2%, Bizkaia 0.4% and Gipuzkoa grew by 0.3%.
For further information:
Basque Statistics Office
C/ Donostia-San Sebastián, 1 01010 Vitoria-Gasteiz
Tel: +34-945-01 75 00 Fax:+34-945-01 75 01 E-mail: email@example.com
Contact: Javier Aramburu
Tel+34-945-01 75 80 Fax:+34-945-01 75 01
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