On the expenditure side, total domestic demand rose by 3 percent, as personal consumption, the largest component of domestic demand, expanded by 0.7 percent following a 0.4 percent growth in Q2; and capital formation increased by 4.9 percent easing from a 20 percent growth in the previous quarter. By contrast, government expenditure continued to drag the expansion down shrinking by 1 percent (-1.2 percent in Q2). Overall net exports fell, as export growth during the quarter of 2.2 percent was outpaced by import growth of 5.4 percent.
On the production side, value added increased for all sectors. There was an overall increase of 2.5 percent in the industry sector, including building and construction where a 1.2 percent increase was recorded. The other services sector increased by 1.4 percent and the distribution, transport, software and communications sector grew by 1.3 percent. Agriculture, forestry and fishing recorded a quarterly increase of 11.4 percent. Meanwhile, public administration and defence shrank by 0.7 percent.
Year-on-year, the economy advanced 7 percent, compared to an upwardly revised 6.8 percent in the previous period, as capital investment and personal expenditure expanded by 35.8 percent and 3.6 percent, respectively; while government expenditure declined by 1.4 percent. Meanwhile, net exports were €1,503m lower. On the output side of the accounts, gross value added in the industry sector (including building and construction) increased by 16.1 percent; distribution, transport, software and communication increased by 8.3 percent; and other services increased by 3.8 percent. Also, agriculture, forestry and fishing increased by 16 percent, while public administration and defence fell by 1 percent.