Press Release

GDP has grown by 5.3 % in the 2nd quarter

Data compiled by the Central Statistical Bureau (CSB) show that in the 2nd quarter of 2018, compared to the 2nd quarter of 2017, the gross domestic product (GDP) (seasonally and calendar non-adjusted data) increased by 5.3 %. In the 2nd quarter GDP at constant prices was EUR 7.3 billion.

As compared to the previous quarter, GDP (seasonally and calendar adjusted data) rose by 0.9 %.

GDP changes at constant prices in the 2nd quarter of 2016 – 2nd quarter of 2018
(as per cent)

31082018_IKP1_en.png

 

In the 2nd quarter of 2018, GDP at current prices comprised EUR 7 279.1 million

31082018_IKP2en.png

Production approach

(at constant prices, seasonally and calendar non-adjusted data)

GDP changes in the 2nd quarter of 2018 by kind of economic activity

31082018_IKP3en.png

In the 2nd quarter of 2018, compared to the 2nd quarter of 2017, manufacturing rose by 4 %.  Largest growth was observed in manufacture of rubber and plastic products – by 10 %, in manufacture of non-metallic mineral products (construction) – by 9 %, in manufacture of computer, electronic and optical products – by 8 %, in manufacture of wood and wood products – by 7 %, in manufacture of fabricated metal products, except machinery and equipment – by 6 %. While reduction was observed in manufacture of food products – by 3 %.

Demand in European markets increased forestry and logging turnover at current prices by 38 %.

In electricity, gas, steam and air conditioning supply manufacturing volume fell by 11 %, of which in production and distribution of electricity – by 6 % and in steam and air conditioning supply – by 33 %.

In the 2nd quarter of 2018, as compared to the corresponding period of the previous year, construction production volume rose by 32 %. Volume of construction of buildings increased by 48 %, volume of civil engineering – by 28 %, but specialised construction activities – by 22 %.

In the 2nd quarter of 2018, retail trade increased by 6 %, of which retail trade in food products – by 5 %, but trade in non-food products – by 7 %. Wholesale trade increased by 1 %. Wholesale trade, retail trade and repair of motor vehicles and motorcycles rose by 9 %.

In transport and storage sector increase of 4 % was promoted by rise in postal and courier activities by 28 %, in passenger traffic by 13 % and freight transport by 3 %. Storage and auxiliary transport activities remained at the same level of the previous year.

Accommodation and catering services grew by 6 %, of which accommodation – by 9 %, catering – by 5 %.

Information and communication services grew by 16 %, including rise of 20 % in computer programming and consulting and of 7 % in telecommunication services.

The volume of services provided in banking sector and insurance has increased in financial and insurance activities along with cost share reduction after a long period of time. Profit from financial instruments trading, commission income from monetary financial institution, as well as prices for services rose.

Professional, scientific and technical activities rose by 7 %, of which architectural, engineering, technical testing and analysis services – by 21 %, activities of head offices; management consultancy activities – by 12 %, while drop of 3 % was observed in legal and accounting activities.

In the 2nd quarter of 2018 the volume of taxes on products (value added tax, excise and customs taxes) increased by 7 %.

 

Expenditure approach

(at constant prices, seasonally and calendar non-adjusted data)

GDP changes in the 2nd quarter of 2018 by kind of expenditure

31082018_IKP4en.png

 

Compared to the corresponding quarter of the previous year, in the 2nd quarter household expenditure on food products rose by 3 %, on transport (public transport, purchase and exploitation of transport vehicles) – by 6 %, expenditure on recreation and culture – by 11 %. Expenditure on housing decreased by 1 %.

Government final consumption expenditure grew by 4 %.

Investment in the gross fixed capital formation grew by 12 %, of which investment in dwellings and other buildings and structures – by 30 %, in machinery and equipment, of which in vehicles – by 2 %. Investment in intellectual property products (research, computer software, databases, copyrights, etc.) in this quarter decreased by 16 %. 

 In 2nd quarter exports of goods and services rose by 7 %, of which exports of goods by 9 % and exports of services by 5 %.

Imports of goods and services rose by 5 %. Imports of goods increased by 6 %. Imports of services grew only by 1 % as there was a drop in information, financial and computer services imports.

Exports of goods and services at current prices was EUR 54 million larger than imports.

Income approach

(at current prices, seasonally and calendar non-adjusted data)

Compared to the 2nd quarter of 2017, in the 2nd quarter of 2018 compensation of employees grew by 10 %, of which total wages and salaries – by 9 % and social security contributions by employees – by 15 %. This rise was promoted by wage and salary fund increase in manufacturing by 11 %, in construction sector – by 17 %, services sectors – by 9 %. Gross operating surplus and mixed income increased by 7 %, whereas the balance of taxes on production and imports and subsidies went up by 13 %.

Total wages and salaries and changes

31082018_IKP5_en.png

GDP changes in the Baltic countries
(at constant prices, seasonally and calendar non-adjusted, as % of the corresponding period of the previous year)

31082018_IKP6en.png

 

GDP data revision is expected due to data of 2016 integration in time series, when possible changes in government sector calculations, balance of payment, financial sectors services and business services indices will also be taken into account. The updated information will be available in the CSB databases on 28 September.

 

Media requests:
Communication Section
E-ma
il: media@csb.gov.lv
Phone: +371 67366924, +371 67366621, +371 27880666

More information on quarterly data:
Elita Kalniņa

Quarterly National Accounts Section
E-mail: Elita.Kalnina@csb.gov.lv
Phone: +371 67366961

 

 

Release date
Share this press release:

Statistical themes related to this press release