In seasonally adjusted fixed prices, the economy grew by an annualized 2.6% in the second half of 2014, following 2.7% growth in the first half of 2014 and 3.4% growth in the second half of 2013, the Central Bureau of Statistics reported today.
GDP shot up by an annualized 7.2% in the fourth quarter, following only 0.6% annualized growth in the third quarter, when Operation Protective Edge took place, and 2.0% in the second quarter.
The increase in GDP in the second half of 2014 reflects a rises of 7.9% in spending on public consumption, 5.4% in spending on private consumption, and 0.6% in exports of goods and services, while investments in fixed assets were down 1.9%.
Imports of goods and services rose 3.0% in the second half of 2014, while total sources available to the economy in the second half (from domestic production and imports) were up by an annualized 2.5%, following a 1.8% increase in the first half.
Itemization of uses of sources shows that spending on private consumption grew 5.4% in the second half of 2014, after rising 3.1% in the first half, while per capita spending on private consumption was up 3.3% in the second half and 1.1% in the first half.
As a result of the stagnation in the real estate sector during this period, investments in fixed assets (investments in residential housing and the construction, equipment, and vehicles sectors) were down by an annualized 1.9% in the second half of 2014, following a 6.8% drop in the first half and a 5.7% rise in the second half of 2013. Investments in residential construction fell by an annualized 1.4% in the second half of 2014 and an annualized 2.0% in the first half.
Published by Globes [online], Israel business news - www.globes-online.com - on February 16, 2015
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