zagreb, trg.jpg
Photograph: Photo by Miroslav Vajdic, used under CC BY-SA

The growth of Croatia's economy in the second quarter of 2016 has exceeded the average growth in the EU 28 both annually and quarterly, reporters were told at the national statistical office (DZS) on Wednesday.

According to the first DZS estimates, in Q2 2016 GDP went up 2.8% annually in real terms, or by 2% according to seasonally adjusted data. Compared to the preceding quarter, it went up 0.6% in real terms according to seasonally adjusted data.

In the EU, growth in Q2 2016 went up 1.8% on average on the year according to seasonally adjusted data. The highest growth was recorded in Romania (+5.9), while Greece was the only member state to post a negative growth rate (-0.7%).

Compared to Q1 2016, the average growth in the EU was 0.4%, with Romania recording the highest growth (+1.5%).

"The main cause of the Croatian GDP growth is increased household consumption, followed by export growth, which was weaker than before but still the most significant component of the Croatian economy, and an unexpected growth in state consumption. Investments have been increasing for the fourth consecutive quarter, reaching a 6.3% growth rate," DZS head Marko Kristof said, adding that GDP had been growing since 2014 according to both original and seasonally adjusted data.

Kristof said state consumption went up 2.6%, with outlays for public sector employees going up 0.8%. Expenditures for final household consumption went up by 3% and exports by 4.1%, down from 7.1% in Q1 2016.

Kristof said the manufacturing industry contributed the most to GDP growth, followed by retail, including catering, tourism and transport (+3.3%), and construction (+4.3%).

Related stories

DZS: Croatia's GDP growth higher than EU average

Croatia among fastest-growing economies in EU

Croatia posts fastest quarter-to-quarter GDP growth in EU

Economic growth up 2.7% in Q1

Croatia records highest Q3 GDP growth in EU

GDP in Q4 2015 up 1.9 pct

Latest news

Ukraine's famed ex-prisoner Savchenko meets inmates in rebel region

Nadiya Savchenko, a military pilot who became the most famous prisoner of the conflict in eastern Ukraine, met Ukrainian prisoners in the separatist region of Donetsk, according to local media reports on Saturday.

Economy minister: IPO of minority interest in HEP still good model for INA buyout

Croatian Economy Minister Martina Dalic of the Croatian Democratic Union (HDZ) on Saturday commented on possible models for buying out Hungarian oil and gas company MOL's stake in the Croatian oil and gas company INA, repeating that "an initial public offering of a minority interest in the HEP power company is practicable and a good model that preserves the company while ensuring a number of advantages and benefits for Croatian citizens."

Afghan envoy warns against unnecessary travel to Pakistan

The Afghan ambassador to Pakistan on Saturday advised Afghan nationals to avoid unnecessary travel to Pakistan even after the border between the two countries is reopened.

Rival militias agree on ceasefire after deadly clashes in Tripoli

Warring militias in the Libyan capital Tripoli reached a ceasefire agreement, after two days of fighting left nine people dead, the Libyan News Agency reported Saturday.

Thousands attend Robert Mugabe's 93rd birthday celebrations

President Robert Mugabe, the world's oldest head of state, marked his 93rd birthday with lavish celebrations in Zimbabwe on Saturday, despite a deepening economic crisis in the southern African country.

Germany's Merkel picked as party's top candidate for September polls

German Chancellor Angela Merkel was nominated on Saturday as her party's top candidate for the September 24 elections.

Stickers reading "Serbian Family Tree" appear in Vukovar

Stickers reading "Serbian Family Tree" with the image of people hanging from a tree and the face of Ante Pavelic, Croatian fascist dictator who led the Ustasha movement and the Independent State of Croatia (NDH), appeared at bus stations along Trpinjska Street in the eastern Croatian town of Vukovar on Friday.

Turkish ruling party launches campaign for constitutional changes

Turkey's ruling Justice and Development Party (AKP) on Saturday formally launched its campaign for the upcoming referendum on core constitutional changes set to empower the presidency, with a mass rally at a sports arena in Ankara.

Top US general visits Syrian Kurds with focus on al-Raqqa campaign

A top US general visited Syrian Kurdish forces and their allies in northern Syria this week, amid signs the US military was increasing its support for anti-Islamic State forces, despite risks that such a move could anger neighbouring Turkey. 

Germany expects long-term migration growth after revising estimates

Net migration to Germany is expected to be 200,000 annually in the coming years, according to a news report to be published Sunday.

Malaysian police seek to reassure public over VX nerve agent

Malaysian police said on Saturday they would do everything possible to ensure there was no risk to the public from the lethal VX nerve agent used to kill Kim Jong Nam in the country's main international airport.

Cretu says Croatia must accelerate apsorbtion of European funds

The Commissioner also said that for the 2014-2020 period, Croatia would have twice the amount from the previous period at its disposal -- a total of EUR 10.67 billion.