Double-digit growth for Estonia

  • 2005-09-07
  • From wire reports
TALLINN - Estonia's economy expanded by an astounding 10 percent in the second quarter of the year, preliminary statistics show.

The Statistical Office reported on Sept. 5 that, based on a monthly analysis, economic growth over the April to June period amounted to 10 percent compared to the same period last year.

The office said it would publish Q2 GDP growth based on more complex methodology on Sept. 28, but preliminary assessments indicate that the economy charged ahead at a pace unseen since the second quarter in 2000.

Analysts said that high growth was expected, though no one had predicted double-digit expansion.

Hansapank analyst Maris Lauri, who had predicted growth of 7.4 percent for the quarter, told the Baltic News Service that the results were largely thanks to exports. He said that consumption and investments were also on the rise and have attributed to the stunning numbers.

SEB Eesti Uhispank analyst Ruta Eier said that export has started to pull up the economy overall, as well as domestic demand, wages and consumption. She added that all preconditions for a continuation of the trend were in place for the second half of the year.