Regional Minister of Economy and Finance Elma Saiz explained that the growth in economic activity is due, among other factors, to the high dynamism of services. However, industrial activity has begun to show signs of slowing down.
The Gross Domestic Product of Navarra has grown in the last quarter a 1,8 % compared to the previous quarter, a increase “Although significantly more moderate than the 2.6% of the previous period, it reveals that economic activity has continued to recover in summer despite the advance of the covid-19 delta variant that forced restrictions to be tightened.”
This has been indicated by the Minister of Economy and Finance of the Provincial Government, Elma Saiz, in a press conference in which regarding the future he pointed out that “the uncertainty is high” but they hope that the regional economy will continue to grow.
In terms year-on-year GDP growth is 4,1 %, a “not very representative” data because the comparison is made with a period marked by the pandemic. On the other hand, if the GDP of the fourth quarter of 2019 is taken as a reference, it is observed that “Activity in Navarra is gradually approaching its pre-covid level”.
The increase of economic activity is explained, among other factors, due to the high dynamism of the servicesAccording to Saiz, who has pointed out that there has been a strong boost in activities such as hospitality, culture, leisure or tourism, after months of restrictions.
However, he has specified, while the services consolidate their recovery, industrial activity has begun to show signs of slowdown and thus the industrial production has fallen 15% in July and August, and the turnover, more than 20%.
The recovery of this industrial activity could be delayed a bit longer than expected and is that Factors such as the rising cost of the energy bill or disruptions in global supply chains caused by the mismatch between supply and demand and which are raising the prices of raw materials and transport play against them., problems that he does not expect to dissipate “in the short term.”
The Navarrese economy could return to pre-crisis values in the first half of 2022 but the scenario presents certain risks that skew downward prospects, according to Saiz, who has warned that health risks related to the pandemic persist in emerging countries that may aggravate global supply problems.
Rebound in state and European GDP
The Spanish economyhas grown a 2 % in the third quarter of the year, which represents a rebound compared to the rise of 1.1% in the second and the fall of 0.6% in the first, thanks to the gradual lifting of restrictions to contain the covid-19 pandemic, according to the advance of data from the National Accounts published this Friday by the National Institute of Statistics (INE). In year-on-year terms, GDP increased 2.7%.
Regarding the eurozone, GDP has risen by 2,2 % in the last trimester and the 2.1% in the EU in the third trimester. Compared to the third quarter of 2020, the increase in GDP was 3.7% in the area of the single currency and 3.9% in the whole of the Twenty-seven, according to the preliminary estimate published this Thursday by the office of Eurostat Community Statistics.
Ricardo is a renowned author and journalist, known for his exceptional writing on top-news stories. He currently works as a writer at the 247 News Agency, where he is known for his ability to deliver breaking news and insightful analysis on the most pressing issues of the day.
