Sweden’s economic growth moderated less than initially estimated in the fourth quarter, while the trade surplus decreased in January from a year ago as exports fell faster than imports, separate reports from Statistics Sweden showed on Friday.
Gross domestic product advanced 0.5 percent sequentially, slower than the revised 0.8 percent growth in the third quarter. In the flash estimate, the rate of expansion was 0.4 percent.
The overall upturn in the final quarter was mainly driven by gross fixed capital formation and general government final consumption, the agency said.
The expenditure breakdown showed that household consumption rose 0.9 percent, led by increased spending on information and communication, housing, and furnishings. General government consumption advanced 2.3 percent.
Gross fixed capital formation grew 2.9 percent on the back of more investments in machinery and equipment and weapon systems.
Meanwhile, changes in inventories showed a negative contribution of 0.5 percent amid a fall in industrial inventories. Net exports were not favorable, as exports fell 1.2 percent amid a stagnation of imports.
On a yearly basis, GDP advanced at a slower pace of 2.1 percent versus a 2.6 percent growth in the third quarter.
The trade surplus of the country shrank to SEK 6.3 billion in January from SEK 12.2 billion in the corresponding month last year. In December, the surplus was SEK 5.8 billion. Exports plunged 10.0 percent annually, and imports were 7.0 percent lower.
Another piece of official information showed that the annual retail sales growth accelerated to 4.1 percent in January from 2.3 percent in December. Retail sales in durables rose by 7.6 percent, and those in consumables increased by 0.2 percent. Monthly, sales demand grew only by 0.1 percent.
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