GDP grew in the second quarter

In the second quarter of 2002 the volume of Finland's gross domestic product grew by 2.1 per cent from the first quarter. Compared to the second quarter of 2001, GDP was up by 2.5 per cent. The volume of exports started to grow again after a twelve month spell of contraction. This is indicated by the preliminary National Accounts data compiled by Statistics Finland.

GDP at market prices by quarter calculated at 1995 prices

Economic growth has been boosted by increasing exports and the consumption of households. Exports increased by 4 per cent while imports fell by one per cent from twelve months back. Households' final consumption expenditure grew by over 3 per cent, whereas investments decreased by one per cent in the second quarter of 2002 compared to twelve months back.

The growth in the service industries which slowed down early in the year picked up again in the second quarter and reached 2 per cent. The volume of wholesale and retail trade sales went up by close on 5 per cent, with particularly brisk sales of motor vehicles. Output in the processing industries went up by 3 per cent, having still declined by 7 per cent in the previous quarter. In the second quarter of 2002, output increased by 9 per cent in the metal industry and by 4 per cent in the wood and paper industry. In construction, output in construction decreased by 2 per cent. Primary production increased by 5 per cent due to increased forest fellings.

In the first quarter of the year, the wages and salaries bill of the national economy was 4 per cent greater than twelve months before. Enterprises' operating surplus increased by 3 per cent over the same time period.

According to the preliminary data of Eurostat, the Statistical Office of the European Communities, gross domestic product increased by 0.4 per cent in the EU area in the first quarter of 2002 when compared to the same period of the year before. In Finland, GDP contracted by 1.9 per cent in the first quarter of 2002.

Demand and supply of national economy 2002, 2nd quarter, changes in volume from previous year's corresponding quarter and from previous quarter, per cent

cellspacing="0" cellpadding="2"

	Change from previous year's corresponding quarter, %	Change from previous quarter, %
Gross domestic product	+2.5	+2.1
Imports	-1.3	+1.1
Exports	+4.3	+4.4
Consumption	+2.8	+1.5
Investments	-0.6	+1.6

Gross domestic product includes all the goods and services produced during the quarter concerned. Change in the amount, or volume, of the GDP refers to a value from which the effect of deterioration in the value of money, i.e. inflation, has been removed. Change from the previous quarter is calculated from seasonally adjusted data.

Seasonally adjusted GDP refers to a value from which the effect of annually occurring regular seasonal variation caused by holiday periods, seasonal weather, etc., has been removed. Seasonally adjusted series become revised as new observations become available. The data on the last quarter, in particular, should be viewed with caution, as new observations especially at turning points of economic development may alter seasonally adjusted figures significantly.

Source: National Accounts 2002, 2nd quarter. Statistics Finland