Domestic economic production weakened in the third quarter of this year. Compared to the previous quarter, gross domestic product (GDP) fell by 0.1 percent, reflecting the recent gloomy economic mood for the first time. According to Wifo, there was still an increase of 1.8 percent compared to the same period last year, which was significantly lower after the growth in the first two quarters of 2022.
The slump in the international economy has also caused exports to fall sharply, reportedly down 3.5 percent from the previous quarter (see chart below). In the same time corridor, investment demand also decreased by minus 0.3 percent. Private households, on the other hand, provided a positive boost, with consumer spending increasing by 0.6 percent. Public consumption stagnated.
Fewer goods produced
According to the economic research institute’s quick estimate, declining export demand was reflected in domestic production of material goods. Their added value fell in real terms by 1.4 percent in the third quarter, after rising sharply in the second quarter (plus 1.8 percent).
Value added in trade, housing and gastronomy also decreased by 0.3 percent, while there was slight growth in public administration production (up 0.7 percent), construction (up 0.2 percent) and in other services (plus 0.1 percent).
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
