Building boom helps boost growth by 3.9pc

21st February 2007, Comments 0 comments

21 February 2007, MADRID - Spain's economy grew 3.9 percent last year, or four-tenths of a percent more than in 2005, according to figures released on Wednesday.

21 February 2007

MADRID - Spain's economy grew 3.9 percent last year, or four-tenths of a percent more than in 2005, according to figures released on Wednesday.

Analysts at the National Statistics Institute said the gross domestic product, or GDP, expanded 4 percent in the fourth quarter of 2006.

Among the best-performing sectors of the economy last year was construction, which grew 6 percent, boosted by new residential building and public works projects.

Industrial activity moderated in the fourth quarter, posting a 3.5 percent growth rate due to the pullback in the energy sector. Manufacturing, however, improved in the last three months of last year.

Services grew at a 3.5 percent annualized rate in the last quarter of 2006.

Household consumption grew by one-tenth of a percent to 3.7 percent in the period, thanks to the strength in the labor market.

Employment increased 3.1 percent in 2006, with the equivalent of 550,000 full-time jobs being created. EFE

[Copyright EFE with Expatica]

Subject: Spanish news

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