9.426-144/09

Vienna, 10 July 2009 - According to estimates by Statistics Austria, the Austrian economy grew by 2.0% in 2008. This means a slowdown of growth against the background of a demanding international environment, following significant growth rates of +3.5% in both 2006 and 2007. Nevertheless, the growth was still remarkable compared to most other EU and OECD countries. The average growth rate of the EU countries was +0.9%, the average economic growth of the Euro Zone (1) was +0.7% (Source: Eurostat Databank, July 2009). The average growth rate of the OECD countries was +0.9% (Source: OECD, Main Economic Indicators, June 2009).

Gross domestic product (GDP) at current prices rose by € 11.1 bn, or 4.1%, to approximately € 281.9 bn in 2008. Hence, GDP per inhabitant amounted to € 33.810 (+3.6%).

As regards the output approach by industry, energy and water supply achieved the most conspicuous growth rate (+5.8% in real terms). Growth in manufacturing was less vibrant than in the previous years (2006: +9.2% in real terms, 2007: +7.5% in real terms), but the increase was still +3.9% in real terms. Industry in total (including energy and construction) grew by 3.5% in real terms and, thus, increased evidently stronger than the service sector did (+1.7% in real terms). The strongest growth within the service sector was achieved by hotels and restaurants (+3.1% in real terms). The slowdown in manufacturing was reflected in a damped growth in the export of goods and services, which developed by +3.4% at current prices and +0.8% in real terms, respectively. Domestic demand, on the other hand, was predominantly shaped by an increase of +3.2% in real terms for government final consumption expenditure. Gross fixed capital formation expanded only by 1.0% in real terms. Whereas investments in machinery increased by 2.2% in real terms, demand for transport equipment decreased by 4.7% in real terms. Final household consumption expenditure grew by +3.4% at current prices and +0.7% in real terms, respectively.

Net national disposable income rose by 4.4% up to € 232.6 bn. Compensation of employees (i.e. the total remuneration, in cash or in kind, payable by an employer to an employee) increased by 5.3% and, hence, outraged the growth of operating surplus and mixed income (+2.9%) for the first time in nine years. The implicit price index of GDP (derived from the GDP at current prices and at constant prices respectively, based on previous year’s prices) was 102.0. Hence, the overall price development was significantly less than the change of the consumer prices index (+3.2%).

For further information please contact Ursula HAVEL, Directorate Macro-economic Statistics, Statistics Austria, phone: (01) 71128-7648 or e-mail: ursula.havel@statistik.gv.at