Provisional estimates indicate that the Gross Domestic Product (GDP) for the third quarter of 2019 amounted to €3,454.6 million, registering an increase of €181.1 million or 5.5% when compared to the corresponding period last year. In volume terms, GDP went up by 3.4%.

During the third quarter of 2019, Gross Value Added (GVA) increased by €201.1 million when compared

to the same quarter last year. GVA is the net result of output valued at basic prices less intermediate consumption valued at purchasers' prices.

This increase was mainly generated by wholesale are retail trade, transportation and storage, accommodation and food service activities which increased by €44.9 million or 6.8%, arts, entertainment and recreation, repair of household goods and other services which increased by €37.9 million or 9.1%, and professional, scientifi c and technical activities, administrative and support service activities which increased by €27.8 million or 6.3%. There was a slight drop in agriculture and fishing.

 

The expenditure approach

The expenditure approach is another method used to calculate GDP and is derived by adding consumption of households, government and non-profi t institutions serving households, investment and net exports.

During the third quarter of 2019, total final consumption expenditure increased by 4.6% in nominal terms and 2.5% in volume terms. This was the result of an increase in household expenditure of 3.9% in nominal terms and 2% in volume terms, and an increase in government expenditure of 6.7% in nominal terms and 4% in volume terms. Gross fixed capital formation increased by 3.8% in nominal terms and 0.2% in volume terms. Exports of goods and services increased by 4.8% in nominal terms and by 3.6% in volume terms.

Imports of goods and services increased by 2.3 per cent in nominal terms and by 1% in volume terms.

 

The income approach

The third approach to measure economic activity is the income approach which shows how GDP at market prices is distributed among compensation of employees, operating surplus of enterprises and taxes on production and imports net of subsidies.

Compared to the third quarter of 2018, the €181.1 million increase in GDP at current prices is estimated to have been distributed into a €66.1 million increase in compensation of employees, a €142.1 million increase in gross operating surplus and mixed income and a €27.1 million decrease in net taxation on

production and imports.

 

Gross National Income (GNI)

The GNI diff ers from the GDP measure in terms of net compensation receipts, net property income receivable and net taxes (minus subsidies) receivable on production and imports from abroad.

Considering the effects of income and taxation paid and received by residents to and from the rest of the world, GNI at market prices for the third quarter of 2019 is estimated at €3,177.7 million.