GDP Growth at 2.2 Percent in Q2, Manufacturing Slows ({{commentsTotal}})

Kiviõli Keemiatööstus.
Kiviõli Keemiatööstus. Source: Postimees/Scanpix

Estonia's gross domestic product expanded by 2.2 percent year-on-year in the second quarter, preliminary figures from Statistics Estonia indicated today.

Compared to the first quarter, GDP rose in the second by a seasonally adjusted 0.5 percent.

Growth in manufacturing, which is the largest contributor to the GDP growth, continued to slow due to a decrease in the manufacture of electronic and chemical products. Meanwhile, the largest positive contribution to the growth came from an increase in manufacture of wood and coke fuel, made from coal.

Exports declined 0.5 percent in real terms in the second quarter due to weak external demand. This was the fourth consecutive quarter of decrease. Imports also fell 0.5 percent.

The growth in overall GDP was also slowed due to a slowdown in real estate activities, mainly due to an accelerated rise in prices.

The final GDP figures for the second quarter will be published on September 8.