Austrian Economy Slightly Recovers in Q1

The Austrian economy grew by just 0.1% quarter-on-quarter in the three months ending March 2025, slightly below the initial estimate of 0.2%.

This marked the first expansion since the first quarter of 2024, signaling a modest recovery following a revised flat reading in the previous period.

Net trade contributed positively to the GDP, as exports stalled (vs -0.4% in Q1 2024), while imports dropped by 1.1 (vs 0.3%).

On the production side, improvement was primarily driven by the industry and services sector.

Meanwhile, fixed investments decreased (-1.3% vs 0.4%), dragged down by a decline in residential and other buildings & structures.

Additionally, household consumption slowed sharply (0.1% vs 0.8%).

On a yearly basis, GDP shrank by 0.5%, slowing from a downwardly revised 0.1% fall in the preceding quarter.

Thus extending the period of contraction to eight consecutive quarters.