Austrian Economy Stagnates In Q2

(RTTNews) - The Austrian economy stalled in the second quarter as higher oil prices halted the economic recovery in the domestic economy, a flash estimate from the WIFO economic institute showed on Thursday.

Gross domestic product remained flat in the June quarter after a 0.2 percent stable increase in the March quarter.

The sharp rise in oil prices caused by the war in Iran weighed on the domestic economy in the second quarter and halted the economic recovery, the WIFO said.

Considering the expenditure approach, household consumption dropped 0.1 percent over the quarter, and general government consumption was also 0.1 percent lower. Meanwhile, gross fixed capital formation increased 0.4 percent. Both exports and imports climbed by 0.5 percent and 0.6 percent, respectively.

On a yearly basis, the economic growth moderated to 0.8 percent from 0.9 percent in the first quarter.