Tuesday, January 20, 2015

Domestic consumption supports economic growth – TSF Mobile

Domestic consumption supports economic growth – TSF Mobile

There was sustained growth between October 2013 and October 2014, but especially in sustained recovery in domestic consumption.

The Council of Public Finance (CFP) states that domestic demand grew well above estimates government, with a contribution 2.1 percentage points in the first 9 months of last year, while net external demand, exports had a negative contribution to the economy under one percentage point.

Based on these and other data, the Council of Public Finance estimates that GDP growth in 2014 is expected to be somewhere between 0.9 and 1 per cent, ie in line with or slightly below the target set by the Ministry of Finance.

As for the deficit, this report confirms positive estimates. The CFP states that, based on information available up to November on the behavior of public spending, interest expense, and tax revenues, the deficit of the state’s accounts should be in line with their own estimate of the CFP, 3.8 percent , that of nominal GDP to grow 1.7 percent.

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