The Portuguese Gross Domestic Product (GDP) increased by 2.2% in volume in the fourth quarter of 2019 (0.3 percentage points above the rate of the previous quarter). The contribution of net external demand to the year-on-year GDP rate of change was positive in the fourth quarter, after being negative in the previous quarters, with Exports of Goods and Services accelerating and Imports of Goods and Services decelerating. Domestic demand’s positive contribution decreased, with a slowdown of private consumption and Gross Fixed Capital Formation.
When compared with the third quarter of 2019, GDP increased by 0.6% in real terms (0.4% in the previous quarter). The contribution of net external demand to the quarter-on-quarter GDP rate of change shifted from negative to positive in the fourth quarter, while the contribution of domestic demand was negative, after being positive in the previous quarter.
In 2019, GDP recorded a real growth rate of 2.0%, 0.4 percentage points less than in the previous year. This evolution was driven by the less intense positive contribution of domestic demand, reflecting the growth of private consumption at a slower pace. Net external demand presented a slightly less negative contribution than in 2018, with a deceleration of both Exports and Imports of Goods and Services.