Spain’s GDP up 2.4pc

3 February 2004

MADRID – Spain’s gross domestic product rose by 2.4 percent in the past year, economists said Tuesday.

This rise represented, in the international context, a small expansion in the economy, analysts from the Bank of Spain said.

But the analysts also felt that it showed the Spanish economy was showing more signs of recovery.

The increase in the GDP was a result of a 3.2 percent increase in the rate of internal demand. It was 0.5 percent more than at the same stage in 2002.

Bank analysts also said the relatively small expansion was partly due to the negative effect of foreign sector competition.

But at the same time, greater consumer demand and investment in the construction industry were the two “pillars” which had given dynamism to the economy in the past year.

However, they said the point which was most outstanding was the recuperation of investments in machine industry and the strong flow of trade with foreign companies.

[Copyright EFE with Expatica]

Subject: Spanish news