Translated using ChatGPT service.
According to data from the Central Statistical Bureau, GDP in the third quarter was 1.6% lower in constant prices than a year earlier. Overall, GDP declined by 0.5% in the first three quarters of this year compared to the same period last year.
In the third quarter of this year, household consumption increased by 1.1% compared to the previous year. This represents a higher growth rate than in the earlier quarters of the year, positively influenced by an increase in real incomes.
Investments in the third quarter decreased by 5.1%. The sharpest decline was observed in "Other buildings and structures," which fell by 6.9%. Investments in machinery and equipment, including vehicles, and in intellectual property products decreased by 2.8% and 4.7%, respectively. Government spending continued to rise, increasing by 7.7% year-on-year in the third quarter.
Exports of goods and services in the third quarter were 0.2% higher than a year ago. Goods exports increased by 0.5%, while services exports decreased by 1.5%. The main export products included wood and wood products (excluding furniture), electrical appliances, and mineral products. Key exported services were transportation and other business services. Imports of goods and services also rose by 0.2% in the third quarter. Goods imports increased by 0.2%, while services imports fell by 0.3%. The main imported products were electrical appliances, land vehicles and their parts, while key imported services included transportation and other business services.
Sector-specific trends remain varied. The largest increases in the third quarter of this year compared to the same period last year were observed in other industries (+13%), arts, entertainment, and recreation (+12.8%), and trade (+4.7%). More moderate growth was seen in accommodation and food services (+2.1%) and financial and insurance activities (+2.5%). The sharp growth in other industries was mainly driven by increases in electricity, gas supply, heating, and air conditioning (+20.1%), mining and quarrying (+12.2%), and water supply, sewage, waste management, and remediation (+3.4%). Growth in the trade sector was primarily supported by higher household consumption and increased external trade. All trade sub-sectors reported positive results: motor vehicle and motorcycle trade and repair grew by 7.6%, retail trade by 0.5%, and wholesale trade by 1.6%.
The steepest declines were observed in education (-9.3%), transport and storage (-7.7%), construction (-6.9%), health and social care (-6.8%), and real estate activities (-4.5%). The sharp drop in the transport and storage sector was primarily influenced by declines in land and pipeline transport (-8.3%), water transport (-15.5%), storage and auxiliary transport activities (-8.6%), and postal and courier services (-4.2%). However, air transport posted positive growth (+16.7%). The decline in construction was largely due to low demand for building construction and a drop in civil engineering. Specialized construction activities fell by 2.7%. Manufacturing saw a 2.2% decline, mainly driven by a 1.2% decrease in the largest manufacturing sub-sector, wood and wood products manufacturing. Other declines were observed in fabricated metal products (-7.8%), computer, electronic, and optical equipment (-5.5%), and food products (-2%). Overall, 10 out of 22 manufacturing sub-sectors reported positive results.
The economy is expected to return to sustainable growth next year, driven by increased domestic consumption and higher investment volumes.