The Croatian economy fell by 10 percent in the third quarter compared to the same period last year, mostly due to a drop in personal consumption. However, the drop wasn’t as bad as the record 15 percent decrease in the previous quarter.
The Central Bureau of Statistics (CBS) released on Friday the first estimate that gross domestic product (GDP) fell 10 percent year-on-year in the past quarter.
The decline is slightly smaller than analysts' expectations. Seven analysts, who took part in the Hina poll, expected GDP to fall by 10.4 percent on average, and their estimates of the fall ranged from 9.5 to 11 percent.
It is the second quarter in a row that the economy has fallen on an annual basis, meaning it has plunged into its first recession since 2014.
However, the decline in the third quarter was smaller than in the second, when the economy sank to a record 15.4 percent due to restrictive measures aimed at controlling coronavirus.
The real GDP decline of 10 percent is the second largest real decline since 1995.
According to CBS data released today, household consumption sank 7.5 percent last quarter from a year earlier.