GDP rose by 1% in the second quarter of 2009, utterly defying expectations, after two quarters of economic contraction, the Central Bureau of Statistics announced today.
GDP was down 1.7% in the first half of the year, because of the 3.2% drop in the first quarter, which followed the 1.4% drop in the fourth quarter of 2008. A recession is, by definition, two consecutive quarters of GDP contraction.
Export of goods and services rose by an annualized 5.3% in the second quarter, private consumption rose by an annualized 4.4%, and public consumption, excluding defense, rose by an annualized 19.8%. Investment in fixed assets fell by an annualized 10.3% however.
Published by Globes [online], Israel business news - www.globes-online.com - on August 16, 2009
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