Romania: GDP growth loses momentum in Q2
According to a preliminary reading, GDP growth moderated to 0.1% on a seasonally adjusted quarter-on-quarter basis in the second quarter from 0.5% in the first quarter. On an annual basis, economic growth also lost momentum, cooling to 0.8% in Q2, compared to the previous quarter’s 2.2% increase and marking the worst reading since Q4 2020. Both readings fell short of market expectations.
The statistical office did not provide a comprehensive breakdown, but monthly data hints that a decline in industrial sector output likely drove the quarterly slowdown, at least in part. On the expenditure front, high-frequency data suggest that private consumption lost some steam, as indicated by slower growth in retail sales in Q2 compared to Q1.
A detailed breakdown is scheduled to be published on 6 September.