This is clear from the data released today by the National Institute of Statistics (INE) which shows that the pace of growth has slowed down in the last two quarters, in a context marked by the effects of the rate hike on household consumption. and the weakness of the foreign sector.
Family consumption increased by 1.4% quarter-on-quarter, five tenths more than in the previous period.
However, business investment fell 0.4% (in the previous quarter it grew 1.9%). It is worth highlighting the decline in investment in housing, which collapsed by 2.2%, compared to the increase of 3.5% in the second quarter. For its part, growth in investment in machinery and capital goods was maintained at 2%.
In addition, final consumption spending by public administrations rose 0.6%.
Regarding the foreign sector, the notable drop in exports (-4%) and imports (-3.1%) stands out.
In year-on-year terms, the slowdown is also seen with GDP increasing by 1.8%, compared to the 2% registered between April and June.
Final consumption spending slowed and grew by just 1.6% compared to the same quarter of 2022. This rate is 1.1 points lower than that of the second quarter. Specifically, household consumption presented an interannual variation of 1%, which is 1.2 points less than in the last quarter.
For its part, Public Administration spending slowed to 3.3%, eight tenths less than in the quarter.
Regarding the foreign sector, exports of goods and services fell 2.4% year-on-year and imports of goods and services contracted 2.9%.
The contribution of national demand to year-on-year growth between July and September was 1.7 points, five tenths less than in the second quarter, while external demand contributed 0.2 points, four tenths more than in the last quarter. but far from the 2.8 points it registered at the beginning of the year.
The Ministry of Economy has described as “very notable” the GDP growth recorded in the third quarter in an environment of “high international uncertainty and rise in interest rates” and has insisted that “the dynamism and differential growth are maintained.” “of the Spanish economy with respect to the main countries of the euro zone.
In a statement, it highlighted “the contribution of private consumption, driven by gains in purchasing power and the evolution of employment.”
Services was the only one that grew, 0.9%, boosted by the tourist season in Spain. However, the rest of the activities contracted: agriculture (-3.4%), industry (-0.6%) and construction (-0.6%).
Employment in the economy measured in hours worked grew by 0.1% compared to the previous quarter, an increase that rises to 2.4% if measured in full-time equivalent jobs.
In the last year, 678,000 full-time equivalent jobs have been created, which represents a growth of 3.5% in annual rate.
