Africa-Press – Cape verde. According to the Quarterly National Accounts, released today by the National Statistics Institute (INE), in the second quarter of 2024, Cape Verde’s Gross Domestic Product (GDP) grew by 8.5% in real terms, compared to the same period in 2023. This rate is 2.4 percentage points (p.p.) lower than that recorded in the first quarter of 2024.
According to the INE, on the supply side, Gross Value Added (GVA) at basic prices showed a positive year-on-year growth of 8.8%. Among the most notable sectors are Accommodation and catering, with an increase of 33.2%, Trade and repair, which grew by 13.7%, and Transport and storage, with a positive variation of 15.4%. These sectors contributed to GDP growth with 1.7 p.p., 1.4 p.p. and 1.5 p.p., respectively.
The GVA of the Agriculture sector increased by 5.2% in the second quarter of 2024, contributing 0.1 p.p. to total GDP growth. The GVA of the Manufacturing Industries sector grew by 10.3%, contributing positively with 0.5 p.p., although this rate was lower than the 13.2% recorded in the first quarter of 2024. In contrast, the GVA of the Construction sector recorded a decrease of 5.3%, resulting in a negative contribution of 0.2 p.p. to GDP.
On the expenditure side, the 8.5% growth in GDP was driven by an increase in Final Consumption, which showed a positive year-on-year change of 6.1% in the second quarter of 2024. Private consumption increased by 5.3%, a slowdown compared to the 8.7% recorded in the first quarter. Public consumption grew by 9.0%, reversing the 0.5% drop in the previous quarter.
Investment in the second quarter of 2024 recorded a negative year-on-year change of -3.0%, a significant improvement compared to the -30.1% contraction observed in the first quarter.
Exports of goods and services increased by 8.0% in volume, accelerating compared to the 3.7% recorded in the previous quarter. Exports of goods grew by 6.1%, after a 6.5% drop in the first quarter, while exports of services recorded a positive change of 8.4%, above the 7.7% recorded in the first quarter.
On the other hand, Imports of Goods and Services, in volume, decreased by 0.9% year-on-year (-14.2% in the previous quarter), with a decrease in both components, with negative variations of 0.8% in imports of goods (-15.5% in the 1st quarter) and 0.6% in imports of services (-8.9% in the previous quarter).
As part of the quarterly accounts review policy, the GDP growth rate in 2023 was adjusted from 5.1% to 5.5%. Gross Value Added at basic prices increased by 5.4% in volume in 2023, driven by activities such as Manufacturing, Transport and storage, Accommodation and catering, Information and communication activities and Public administration.
From an expenditure perspective, GDP growth in 2023 resulted essentially from the increase in private and public consumption expenditure.
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