The Austrian economy returned to decline after strong growth

The Austrian economy declined by more than four percent.

After strong growth in the third quarter, Austria's economy returned to decline in the last quarter of last year. This was stated by the Austrian Institute for Economic Research (WIFO), which published preliminary data. Austria's gross domestic product (GDP) fell by 4.3% quarter on quarter in the last quarter of last year, WIFO said. In the third quarter, the economy grew by 12%. The preliminary estimate is also worse compared to the estimates of economists, who expected a decline of 2.5%. According to WIFO, the development of the economy in the 4th quarter was affected by the second lockdown. It mainly affected the services sector and consumer spending. Year-on-year, Austria's GDP fell by 7.8% in the fourth quarter. This means a year-on-year decline for the fourth consecutive quarter, with the pace of decline accelerating. In the third quarter, the Austrian economy contracted by 4.2% year on year.