GDP growth in the 2nd quarter was supported by the industrial sector exports
According to Statistics Estonia, by flash estimates, the gross domestic product (GDP) of Estonia increased by 3.5% in the 2nd quarter of 2010 compared to the same quarter in the previous year.
The GDP grew last in the 4th quarter of 2007.
The GDP of the 2nd quarter was above all influenced by the growth of value added of the industrial sector (by 10%). The growth of the value added created in the industrial sector was supported by the strong exports of manufacturing production and electricity. The value added generated by the mining of oil shale used for producing electricity grew fast as well. Due to a small domestic demand, the sales of manufacturing production on the domestic market were in downtrend. In construction, the output of which is mainly targeted at the domestic market, the generated value added showed a continuous decreasing trend.
The value added created in the economic activity of wholesale and retail trade increased being influenced by the growth of value added in wholesale. The value added of retail trade kept decreasing because of insufficient demand. The growth of value added of financial intermediation was above all influenced by the growth of the income gained by banks from service fees and by the growth of net premiums of insurance companies.
By flash estimates, the seasonally and working-day adjusted GDP increased 2.0% in the 2nd quarter compared to the 1st quarter.
Gross domestic product by chain-linking method, billion kroons, 1st quarter 2005 – 2nd quarter 2010
The industrial sector covers such economic activities as mining; manufacturing; electricity, gas and water supply; and construction, accounting for approximately a quarter of the gross value added of the total economy.
The first estimate of the GDP for the 2nd quarter of 2010 calculated by production, expenditure and income approaches will be published by Statistics Estonia on 8 September. On the same date, Statistics Estonia will also release the revised national accounts for 2006–2009 based on the supply and use tables and annual reports of enterprises. Due to the revision of the 2009 data, the national accounts data for the 1st quarter of 2010 published in June this year will also be updated. All the above referred revised time series will be published in the Statistical Database of Statistics Estonia on 8 September.