Romanian GDP Shrinks Less in Third Quarter on Consumption

Romania’s economy shrank in the third quarter less than preliminary reports on a smaller decline in consumption.

Gross domestic product shrank a seasonally adjusted 0.4 percent from the previous three months, less than the 0.5 percent quarterly contraction given in reports Dec. 6 and Nov. 15, the National Statistics Institute in Bucharest said in an e-mail today. That compares with a revised growth rate of 0.2 percent in the second quarter, the institute said on its website today. Third-quarter GDP declined a seasonally unadjusted 0.5 percent from the same period a year earlier.

Romania’s economy went through its worst recession on record from 2008 to 2010 and a second one in the last quarter of 2011 through the first quarter of last year. Growth will probably slow to less than 1 percent in 2012 from about 2.5 percent in 2011 because of a poor harvest and waning industrial output amid Europe’s debt crisis, according to the International Monetary Fund.

Final consumption contracted 0.7 percent in the third quarter from a year earlier, less than a 1.6 percent decline previously reported, according to the statistics office.

Construction output shrank 1 percent, while agriculture, one of the main drivers of the economy in 2011, declined 30 percent in the third quarter from the same period a year ago. Industry fell 0.5 percent, according to the institute.

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