The National Accounts Section of the Department of Statistics has released the estimates of the Gross Domestic Product (GDP) for 2012.
According to the preliminary results, the GDP in Current Prices for 2012 had a positive growth of 3.5%, while GDP in Constant Prices grew at 1.83%. The current measure utilizes current price levels and currency values, without factoring in inflation and determines the total value of the products and services produced in a particular year. The Constant Prices measures the effects of inflation and is more useful for studying trends in economic growth. These preliminary figures will be revised as more data become available.
The 2012 results are based on early estimates from major data sources such as the Central Bank, Ministry of Tourism, and the Foreign Trade Section of the Department of Statistics. They are also based on indicators which normally mimic movements of particular industries such as Hotel Room Rates, Megawatt Sales, Building Permits, Chargeable Telephone Minutes, Consumer Price Index, etc.
The growth at constant prices was due to increases in the Construction Industry, Manufacturing, Hotel Industry and Marine Transport In contrast, Fisheries, Electricity, Mining, Banking, Insurance and Real Estate/Gross Rents declined.
Others statistics released included:
The Gross Capital Formation in Constant Prices grew by 20.6%. The impetus in this sector was Non-Residential Construction and Machinery and Transport Equipment which increased by 97% and 22.6%, respectively. This build-up of these fixed assets was the direct result of major capital projects such as the BahaMar and the Airport Expansion Projects, etc.
The Private Final Consumption Expenditure (PFCE) or Household Expenditure which represents 70% of the GDP, increased in Current Prices by 2.9%. This increase was mostly in the Wholesale and Retail Trade Industry which grew by 5%, and Household Expenditure Abroad which grew by 20%. Contrary to the overall PFCE current growth, a slight decrease was measured at Constant Prices, where PFCE declined by 0.7% as part of the constant growth was mainly due to the increased prices. This decline is due to the All Items NP Consumer Price Index used to deflate the PFCE, which moved from 135.5 in 2011 to 138.4 in 2012.
The Government Final Consumption Expenditure (GFCE) is split between Individual Consumption and Collective Consumption. In 2012, The Individual Consumption which includes Health and Education grew by 1.6% at Constant Prices and the Collective Consumption, which represents the remaining services, experienced a 2.5% growth.
The National Accounts 2012 Report with detailed tables will be available at the end of April 2013 on the Department’s website.