Spain’s Q1 2023 National Accounts Show 0.5% GDP Growth Despite COVID-19 and Russian Invasion of Ukraine

The Quarterly National Accounts of Spain for the first quarter of 2023 show a 0.5% increase in GDP volume compared to the previous quarter, with a 3.8% year-on-year increase. The COVID-19 pandemic and the Russian invasion of Ukraine continue to impact the economy and employment, posing challenges in measuring the current situation accurately. The contribution of national demand to GDP growth increased, while the demand from external sources decreased. The deflator implicit of the GDP and the cost labor unitary increased. The report also highlights the importance of considering variables other than full-time equivalent jobs when measuring employment.