Portuguese Gross Domestic Product (GDP) increased by 2.8% in volume in the first quarter 2017, compared with the same period of 2016 (2.0% in the fourth quarter 2016). This evolution was due to the increase of the contribution of net external demand, reflecting the more pronounced acceleration in volume of Exports of Goods and Services compared to the acceleration in Imports of Goods and Services. The positive contribution of domestic demand remained significant, although lower than in the previous quarter, with private consumption decelerating while investment accelerated.
In comparison with the fourth quarter of 2016, GDP increased 1.0% in real terms (quarter-on-quarter change rate of 0.7% in the previous quarter). The contribution of net external demand changed from negative to positive, driven by a strong increase in Exports of Goods and Services, higher than the growth of Imports of Goods and Services. The contribution of domestic demand diminished significantly, mainly due to a negative contribution of Changes in Inventories. Private consumption and Gross Fixed Capital Formation (GFCF) recorded increases in the 1st quarter 2017, although lower than in the previous quarter.