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Economic performance from the end of 2020 a pleasant surprise
Economic recovery will be mainly influenced by the success of the vaccination strategy and the effectiveness of vaccines.
Illustrative stock photo (Source: TASR)
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The gross domestic product (GDP) went down in constant prices by 2.7 percent in the final quarter of 2020, compared with the fourth quarter of 2019.
After seasonal adjustment, GDP decreased by 2.7 percent year-on-year, but went up by 0.2 percent compared with the previous quarter, according to the flash estimate published by the Statistics Office on February 16.
The volume of GDP at current prices in the fourth quarter of 2020 amounted to €24.0828 billion, down by 0.4 percent y-o-y.
According to a Bank of Estonia (Eesti Pank) flash estimate, Estonia s current balance of payments account is at a â¬665 million deficit; the extraordinary deficit is mainly linked to a software company created in Estonia recently, which is a subsidiary of German automaker Volkswagen. Foreign investment in software development for car production increased imports of computer services in December and through that increased the current account deficit, the Bank of Estonia wrote on Monday.
The central bank s flash estimate puts Estonia s balance of payments account in December at negative â¬665 million, a change from â¬23 million in December of 2019. The cumulative account for 2020 stands at negative â¬238 million, it was â¬554 million for 2019.