The Spanish economy continues to exhibit very robust growth rates in clear contrast to the sluggishness that predominates in some of the main eurozone countries such as Germany and France. According to the confirmation published this Monday by the INE, . It has thus accumulated five consecutive quarters growing at rates of 0.7% or above.
The drivers of growth in this third quarter have been, on the one hand, private consumption, which increased by 1.2% thanks to the improvement in employment and the gradual recovery of purchasing power of salaries in a context of moderation in prices. . And on the other hand, public consumption, which expanded by 2.5%. Despite representing only 20% of activity, the public sector accounts for half of the growth recorded in the economy since the pandemic. Investment continues to offer worrying signs: it fell 1.3% in the quarter despite the European funds and the start of interest rate cuts. And the foreign sector has a small negative contribution, because although exports rose by 0.4%, imports grew more: 0.9% due to the recovery of domestic private consumption pulling on these.
By sectors, professional activities (1% quarterly), financial activities (1.1%), administration, education and health (1.4%) and agriculture (1.1%) rose in the quarter. Recreational activities increase by 4.5% in these summer months. But construction fell by 1.5% quarterly, despite the needs of the housing market at a time when the sector also claims that it is difficult to find labor.
In year-on-year rates, activity accelerates slightly to 3.3% year-on-year. And there the heading that pushes the most is public consumption, with a 5.1% increase. Private consumption adds up to 3%. And exports grew by 4.3%, favored by the strong boost in tourism and business services, while imports increased by 3.2%. Investment barely rose 1.6% year-on-year.
