2025.09.0507:36:09UTC+00Austrian Economy Extends Growth in Q2

In the second quarter of 2025, Austria's economy expanded by 0.3% on a quarter-on-quarter basis, surpassing initial estimates of a 0.1% growth and improving from an upwardly revised 0.2% in the previous quarter. This represents the second consecutive quarterly growth following over two years characterized by stagnation or contraction. The primary factors behind this expansion include an increase in fixed investments, which grew by 0.7% in contrast to a decline of 0.3% in the first quarter. This was largely due to significant advancements in machinery and transportation equipment sectors. Additionally, net trade made a positive contribution to the GDP, with exports increasing by 1% compared to 0.1% previously, whereas imports decreased by 0.6% against a prior rise of 0.2%. Nevertheless, household consumption experienced a decline of 0.2%, unchanged from the prior quarter, and government spending witnessed a considerable deceleration, growing by only 0.1% compared to 2.3% previously. From the production perspective, the growth was spurred by advancements in the industrial sector (encompassing manufacturing, mining, energy, and water supply), alongside business-related services and the public sector. On an annual basis, the GDP declined by 0.1%, the mildest decrease over nine consecutive periods of decline, easing from a 0.5% drop in the previous quarter.