- Quarterly growth stands at 0.8%, almost triple the average for the euro area
- Employment grows at an annual rate of 3.1%, one tenth more than the previous quarter
- Investment increases 6.5% and household consumption 3.5%, in both cases rapidly
The Spanish economy registered an increase of 0.8% in the third quarter of the year compared to the second, according to data published by the National Statistics Institute. This growth almost triples the average of the euro countries for that period. In the last twelve months, growth has risen to 3.4%, two tenths more than the previous quarter. This rate is the highest since the fourth quarter of 2007, that is, one year before the recession of the Spanish economy began. Employment grew at an annual rate of 3.1%, one tenth more than in the second quarter, and 511,600 jobs were created with an increase in compensation per employee of 0.3% in a context of falling prices.
The National Accounts data corresponding to the third quarter of the year show that the Spanish economy maintains a strong growth rate and that this exceeds that of the main European partners. Compared to 0.3% on average for the euro area as a whole, the same percentage for Germany and France and one tenth less in the case of Italy, the Spanish economy registered quarter-on-quarter growth of 0.8%. Thus, more than two years of positive growth are chained, after having accumulated negative rates or very close to zero since the end of 2008, when the longest and deepest recession in recent history in Spain was triggered.
YoY growth has been 3.4%, the highest rate since the fourth quarter of 2007; that is, one year before the recession begins. It represents an acceleration of two tenths with respect to the second quarter. The main contribution to growth comes from national demand (3.9 points), while the foreign sector detracts half a point. Within national demand, private consumption is the one that pulls the economy the most (2 points), followed by investment (1.3 points).
Regarding national demand and with respect to the last twelve months, growth in gross fixed capital formation stands out (6.5%), especially capital goods (10.6%) and, to a lesser extent, the construction (5.5%). Investment in construction thus chains six consecutive quarters in positive. Household consumption, for its part, increased by 3.5% in the last year, the highest rate since it began to register positive rates in the first quarter of 2014 and also the highest since the fourth quarter of 2016. Regarding the foreign sector, exports maintain a strong vitality, with a growth of 5.6% compared to a year ago, compared to a 7.7% increase in imports.
The evolution of employment measured in full-time equivalent jobs gives a net creation of 511,600 jobs. This figure represents an increase of 3.1% compared to a year ago, one tenth more than the previous quarter and the sixth quarter continued positive. The annual rate is also the highest since the third quarter of 2007. Compensation per employee increases 0.3% year-on-year, one tenth less than in the second quarter, in a context of negative inflation, which allows earnings of purchasing power.