Spain's GDP grows by 0.7% in first quarter of 2024

Spain's gross domestic product (GDP) grew by 0.7% in the first quarter of 2024, according to the Spanish National Statistics Institute (INE).

Compared to the same quarter in 2023, the GDP grew to 2.4%, three-tenths more than the previous three months.

These figures exceeded all expectations, as analysts were expecting an increase of 0.3% or 0.4%.

Spain's economy minister, Carlos Cuerpo, said these data show Spain is in an "optimal" situation, with "differential growth" despite "increased uncertainty."

Investment improved by 2.6%, especially in machinery, which grew by 3.7%, and housing, which grew by 3%.  

Exports also grew by 2.4% between January and March, while imports rose slightly by 1.1%.

Consumption slowed to 2.6% year-on-year, but household consumption remained stable at 2.3%.

In contrast, government consumption fell by 1.1% to 3%.  

In the labor market, the total number of hours worked increased by 1.3% compared to the previous year.