TALLINN — Estonia’s first quarter gross domestic product estimates were revised to a 2 percent contraction up from -2.3 percent on Wednesday, Statistics Estonia reported.
The figures show final respite after nearly two years of austerity and decline in the economy. Even though the economy suffered significantly, the country[private_supervisor] managed to keep its finances tidy and will adopt the euro in 2011.
The smallest Baltic state’s seasonally adjusted GDP decreased by 2 percent in the first quarter of 2010 compared to the same period last year.
In the third quarter of 2009 the economy contracted 15.6 percent and in the fouth quarter it shrunk 9.5 percent showing a gradual leveling out and end to the economic crisis.
Statistics Estonia reported that the result for the first quarter of 2010 was conditioned by the low reference base used in calculations. In the first quarter, the GDP at current prices was 50.5 billion krooni (€3.23 billion).
Annika Paabut, Swedbank macroanalyst said in May that the recovery of the Estonian economy will be export-based, but also that domestic demand, which has been weak up until now, would slowly pick up at the end of this year.
“The GDP level should be positive on annual readings by the end of 2010 which is supported by the foreign demand but also the investments coming from European Union structural funds,” Paabut told Baltic Reports.
Estonia has seen the best results in the Baltic states, followed by Lithuania whose GDP contracted by 2.9 percent year-on-year giving hope for a small recovery this year.
Latvia’s results were very weak, however, posting a 6 percent contraction year-on-year, although quarterly the economy grew by 0.3 percent. Latvia’s recovery is the most uncertain and distant of the three countries, given the first quarter flash estimates, analysts say.[/private_supervisor][private_subscription 1 month] managed to keep its finances tidy and will adopt the euro in 2011.
The smallest Baltic state’s seasonally adjusted GDP decreased by 2 percent in the first quarter of 2010 compared to the same period last year.
In the third quarter of 2009 the economy contracted 15.6 percent and in the fouth quarter it shrunk 9.5 percent showing a gradual leveling out and end to the economic crisis.
Statistics Estonia reported that the result for the first quarter of 2010 was conditioned by the low reference base used in calculations. In the first quarter, the GDP at current prices was 50.5 billion krooni (€3.23 billion).
Annika Paabut, Swedbank macroanalyst said in May that the recovery of the Estonian economy will be export-based, but also that domestic demand, which has been weak up until now, would slowly pick up at the end of this year.
“The GDP level should be positive on annual readings by the end of 2010 which is supported by the foreign demand but also the investments coming from European Union structural funds,” Paabut told Baltic Reports.
Estonia has seen the best results in the Baltic states, followed by Lithuania whose GDP contracted by 2.9 percent year-on-year giving hope for a small recovery this year.
Latvia’s results were very weak, however, posting a 6 percent contraction year-on-year, although quarterly the economy grew by 0.3 percent. Latvia’s recovery is the most uncertain and distant of the three countries, given the first quarter flash estimates, analysts say.[/private_subscription 1 month][private_subscription 4 months] managed to keep its finances tidy and will adopt the euro in 2011.
The smallest Baltic state’s seasonally adjusted GDP decreased by 2 percent in the first quarter of 2010 compared to the same period last year.
In the third quarter of 2009 the economy contracted 15.6 percent and in the fouth quarter it shrunk 9.5 percent showing a gradual leveling out and end to the economic crisis.
Statistics Estonia reported that the result for the first quarter of 2010 was conditioned by the low reference base used in calculations. In the first quarter, the GDP at current prices was 50.5 billion krooni (€3.23 billion).
Annika Paabut, Swedbank macroanalyst said in May that the recovery of the Estonian economy will be export-based, but also that domestic demand, which has been weak up until now, would slowly pick up at the end of this year.
“The GDP level should be positive on annual readings by the end of 2010 which is supported by the foreign demand but also the investments coming from European Union structural funds,” Paabut told Baltic Reports.
Estonia has seen the best results in the Baltic states, followed by Lithuania whose GDP contracted by 2.9 percent year-on-year giving hope for a small recovery this year.
Latvia’s results were very weak, however, posting a 6 percent contraction year-on-year, although quarterly the economy grew by 0.3 percent. Latvia’s recovery is the most uncertain and distant of the three countries, given the first quarter flash estimates, analysts say.[/private_subscription 4 months][private_subscription 1 year] managed to keep its finances tidy and will adopt the euro in 2011.
The smallest Baltic state’s seasonally adjusted GDP decreased by 2 percent in the first quarter of 2010 compared to the same period last year.
In the third quarter of 2009 the economy contracted 15.6 percent and in the fouth quarter it shrunk 9.5 percent showing a gradual leveling out and end to the economic crisis.
Statistics Estonia reported that the result for the first quarter of 2010 was conditioned by the low reference base used in calculations. In the first quarter, the GDP at current prices was 50.5 billion krooni (€3.23 billion).
Annika Paabut, Swedbank macroanalyst said in May that the recovery of the Estonian economy will be export-based, but also that domestic demand, which has been weak up until now, would slowly pick up at the end of this year.
“The GDP level should be positive on annual readings by the end of 2010 which is supported by the foreign demand but also the investments coming from European Union structural funds,” Paabut told Baltic Reports.
Estonia has seen the best results in the Baltic states, followed by Lithuania whose GDP contracted by 2.9 percent year-on-year giving hope for a small recovery this year.
Latvia’s results were very weak, however, posting a 6 percent contraction year-on-year, although quarterly the economy grew by 0.3 percent. Latvia’s recovery is the most uncertain and distant of the three countries, given the first quarter flash estimates, analysts say.[/private_subscription 1 year]
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