Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
- Annual inflation remained slightly negative at -0.1% in May due to falling fuel and food prices. This year's average annual inflation is projected to be the lowest since the 1990s.
- GDP grew 1.4% quarter-over-quarter in Q1 2013, driven mainly by private consumption which expanded on the back of employment growth and wage increases.
- Exports of Latvian goods continued rising at 17.5% year-over-year in April despite weak external demand, demonstrating the flexibility of Latvian exporters.
Latvijas Banka Monthly Newsletter: July 2018Latvijas Banka
Highlights:
Energy pushes consumer prices upward
Household lending increased in May
Growth in goods exports continued in May
In Focus:
Competitiveness of Latvia's Exports of Goods in the Region
Šoreiz, sadaļā "Highlights":
* Inflation returns
* Moderate growth in retail
* Challenging environment for exporters
"In Focus":
* ICT is almost a perfectly performing sector, autors: Igors Kasjanovs
The document summarizes the state of the Lithuanian economy based on a monthly newsletter from Swedbank's Economic Research Department. It finds that while corporate profits are increasing, investments in fixed tangible assets continue to decline sharply. However, improving economic indicators and increasing capacity utilization suggest investments will need to increase to boost productivity and competitiveness. Retained earnings from higher profits and tax incentives are expected to be important sources of financing the needed investment growth in 2011. Continued recovery in domestic demand and exports also point to a gradual rise in credit availability and investments.
"Highlights":
* Economy faces temporary slowdown
* Inflation hovering around 0
* Current account back to normal
"In Focus":
* The new school bag of the 2017 budget contains homework, autors: Guntis Kalniņš
The Latvian Economy - 2010 September (pdf)Swedbank
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
After declining sharply in 2008-2009, Lithuanian exports of goods started recovering in late 2009 and growth picked up significantly in 2010, with exports of goods increasing 28.4% in the first three quarters of the year. Exports have largely relied on Lithuania's export-oriented manufacturing sector, including foodstuffs, plastics, metals, machinery, and equipment. While the revival in manufacturing exports is positive, continued strong performance is not guaranteed given anticipated slowdowns in old EU member states. Higher value-added industries have greater long-term potential but Lithuania will remain reliant on traditionally strong lower and medium value sectors in the near future. Exports of services have lagged exports of goods, growing more modestly.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
- Annual inflation remained slightly negative at -0.1% in May due to falling fuel and food prices. This year's average annual inflation is projected to be the lowest since the 1990s.
- GDP grew 1.4% quarter-over-quarter in Q1 2013, driven mainly by private consumption which expanded on the back of employment growth and wage increases.
- Exports of Latvian goods continued rising at 17.5% year-over-year in April despite weak external demand, demonstrating the flexibility of Latvian exporters.
Latvijas Banka Monthly Newsletter: July 2018Latvijas Banka
Highlights:
Energy pushes consumer prices upward
Household lending increased in May
Growth in goods exports continued in May
In Focus:
Competitiveness of Latvia's Exports of Goods in the Region
Šoreiz, sadaļā "Highlights":
* Inflation returns
* Moderate growth in retail
* Challenging environment for exporters
"In Focus":
* ICT is almost a perfectly performing sector, autors: Igors Kasjanovs
The document summarizes the state of the Lithuanian economy based on a monthly newsletter from Swedbank's Economic Research Department. It finds that while corporate profits are increasing, investments in fixed tangible assets continue to decline sharply. However, improving economic indicators and increasing capacity utilization suggest investments will need to increase to boost productivity and competitiveness. Retained earnings from higher profits and tax incentives are expected to be important sources of financing the needed investment growth in 2011. Continued recovery in domestic demand and exports also point to a gradual rise in credit availability and investments.
"Highlights":
* Economy faces temporary slowdown
* Inflation hovering around 0
* Current account back to normal
"In Focus":
* The new school bag of the 2017 budget contains homework, autors: Guntis Kalniņš
The Latvian Economy - 2010 September (pdf)Swedbank
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
After declining sharply in 2008-2009, Lithuanian exports of goods started recovering in late 2009 and growth picked up significantly in 2010, with exports of goods increasing 28.4% in the first three quarters of the year. Exports have largely relied on Lithuania's export-oriented manufacturing sector, including foodstuffs, plastics, metals, machinery, and equipment. While the revival in manufacturing exports is positive, continued strong performance is not guaranteed given anticipated slowdowns in old EU member states. Higher value-added industries have greater long-term potential but Lithuania will remain reliant on traditionally strong lower and medium value sectors in the near future. Exports of services have lagged exports of goods, growing more modestly.
Latvijas Banka Monthly Newsletter: August 2018Latvijas Banka
Highlights:
Economic growth remains robust
Higher fuel prices continue to support inflation
Retail trade expands against the background of favourable economic conditions
In Focus:
Interaction between FDI and exports
The Spanish economy grew 0.8% in the fourth quarter of 2015 and 3.5% year-on-year, while annual GDP growth was 3.2% and inflation fell 0.8% in February driven by lower fuel, food, and beverage costs. Unemployment declined slightly in February but employment and permanent contracts rose over the last year. Political uncertainty led to a €70.2 billion capital outflow from Spain in 2015, the worst since 2012. The UK referendum on EU membership could weaken the EU economy if Britain votes to leave.
Highlights:
In August, annual inflation returns to positive territory
Manufacturing growing fast in July
External complications do not impair Latvia's exports going uphill
Sadaļā In Focus:
Research: Latvia's 2008-2009 wage adjustment stronger than thought before, by Ludmila Fadejeva and Olegs Krasnopjorovs
We are glad to share with you the Global M&A Partners' Industrial Insider our quarterly report on M&A transactions. Should you have any queries or M&A project, please contact your local Global M&A Partners industrial sector team member.
The document discusses the effects of geopolitical crisis between Russia and Ukraine on Latvia's economy. It finds that the effects have been less significant than initially feared, as Russia remains Latvia's second largest trading partner despite a slight decline in exports and imports. Specifically, it notes that the Russian economic weakness has had a bigger impact than sanctions. Certain industries like dairy farmers and food manufacturers have been negatively impacted by sanctions and lower Russian demand. However, the overall effects on Latvia's economy have been limited so far. Risks remain from further potential sanctions or disruptions in gas supply from Russia.
Latvijas Banka Monthly Newsletter: November 2018Latvijas Banka
"Highlights":
Latvia reports faster growth than before
Growth in manufacturing remains stable
Unemployment in Latvia continues its downward trend
"In Focus":
Latvia's energy sector: challenges and prospects
It is likely that the impending trade war will be limited to individual product groups. If so, growth will continue in Finland this and the next year. The economic recovery shows that Finland has not been endowed with the exceptionally serious structural problems as alleged. Because of spending cuts and other measures, the strong economic development will not improve the situation of all population groups equally. The growth of income inequality should be mitigated by updating basic social security, which would include index adjustments of benefits no later than 2019.
Highlights
> Consumer price level down year-on-year
> Industrial production increased year-on-year in August
> Latvian exports resist unfavourable external factors
In Focus
>Exports of wood: contribution to total exports and changes
Global M&A Industrial insider Q4 2018 industrial machine visionVeronique Zeid-Maurel
Happy to share with you our quarterly report on M&A activities in the industrial segment, there is a special focus on industrial machine vision.
To know more, contact your local Global M&A Industrial sector team member.
https://www.globalma.com/industry_sectors
Manufacturing output in Latvia grew 3.3% in February month-over-month according to seasonally adjusted data, though annual manufacturing output dropped 0.6% overall. Some manufacturing sub-sectors saw substantial annual growth, while the wind-down of a large metals company continued to negatively impact basic metals manufacturing. Exports of goods grew in February helping improve Latvia's foreign trade balance, despite challenges from the conflict between Russia and Ukraine which are important trade partners. Annual inflation dropped to 0.3% in March due to seasonal factors and lower food prices compared to the previous year.
The high level of restructuring at the establishment level of the economy in terms of excess job reallocation (i.e. simultaneous gross job creation and destruction) and churning (i.e. excess worker turnover) lowers the unemployment rate in the Finnish regions.
Global M&A Partners Industrial insider Q3 2018 focus on predictive maintenanceVeronique Zeid-Maurel
Happy to share with you our quarterly report on M&A activities in the industrial segment, there is a special focus on predictive maintenance. To know more, contact your local Global M&A Industrial sector team member. http://www.globalma.com/industry_sectors/industrials
The document summarizes recent economic data from the UK. It notes that GDP growth slowed to 0.5% in the third quarter of 2015, with services growth remaining strong but manufacturing and construction declining. Unemployment has fallen to 5.4%, its lowest since 2008, with reductions across age groups and durations of unemployment. Average weekly earnings grew 2.8% in the latest period, with private sector pay growth stronger than public sector. Real earnings growth has picked up from post-downturn lows but remains below pre-2008 levels in most industries.
Latvijas Banka Monthly Newsletter: June 2018Latvijas Banka
Latvijas Banka Monthly Newsletter provides accurate and concise information about the most topical and important developments in the Latvian national economy.
North West Brexit Monitor September 2016sampopperVSNW
The document provides an economic monitoring report for the North West region of the UK after the Brexit referendum. Key points include:
- Recent economic data shows a rebound in the UK economy, but growth prospects remain uncertain due to Brexit.
- The North West saw the largest increase in business activity and consumer confidence bounced back across the UK in August.
- Manufacturing output fell in July but the sector rebounded in August. Services output and new business also increased.
- Terms of trade and regulations remain unclear as negotiations have not begun. EU funding is guaranteed for approved projects.
- Housing prices have not been significantly impacted yet but uncertainty may slow investment in commercial property.
- Unemployment rose slightly in the
Dear all,
I'm glad to share with you our quarterly report on M&A activities in the industrial segment, the Industrial Insider.
There is a special focus on the Industrial Internet Of Things, IOT.
Should you have any quieries, don't hesitate to contact your local Global M&A Partners' Industrials' sector team representative.
Promoting a stronger and more inclusive economy OECD Economic Survey Hungary ...OECD, Economics Department
The OECD Economic Survey of Hungary 2019 document discusses several key points:
1) The Hungarian economy is growing strongly but policies are needed to address risks to the recovery.
2) Greater economic inclusiveness would bolster growth as poverty and unemployment remain issues in some regions.
3) Population aging will significantly increase costs related to pensions and healthcare, which need to be addressed through reforms.
The white paper discusses global economic trends and challenges facing Japan. It notes that structural changes are occurring in emerging economies as growth models transition from investment-driven to consumer-driven. Global growth expectations are declining as advanced economies struggle with low demand while emerging markets face excess capacity and debt issues. New sources of growth are emerging, however, as countries pursue reforms and innovation.
This paper deals with the question of how consumption taxes, especially the value-added tax, affect consumption prices. The analyses are based on data from EU countries for the period 1970–2004. The starting point is a conventional supply-demand analysis of the tax incidence problem. This problem is solved using some simple price mark-up equations, Phillips curves and inflation forecast error equations. All these equations are estimated from panel data from EU countries using different estimators and variable specifications. In addition, an analysis is carried out with Finnish excise taxes using commodity/outlet level micro data for the period 1997–2004. A general result of all analyses is that about two thirds of a tax increase shifts to consumer prices. By contrast, there is less evidence on shifts to producer prices.
The document summarizes economic developments in Mongolia in the first half of 2017. It notes that the Mongolian economy grew by 5.3% in the first half of 2017, driven by strong growth in the services sector and agriculture. Coal production increased significantly, with coal exports more than quadrupling. However, mining overall contracted due to weaker copper production. Investment growth contributed substantially to GDP growth, while high imports reduced the contribution of net exports. Inflation increased to 3.0% due to currency depreciation but remained modest. The fiscal deficit narrowed significantly on the back of higher revenues. The current account deficit also narrowed as exports increased. Growth is projected to remain solid in 2017-18, while inflation and
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Latvijas Banka Monthly Newsletter: August 2018Latvijas Banka
Highlights:
Economic growth remains robust
Higher fuel prices continue to support inflation
Retail trade expands against the background of favourable economic conditions
In Focus:
Interaction between FDI and exports
The Spanish economy grew 0.8% in the fourth quarter of 2015 and 3.5% year-on-year, while annual GDP growth was 3.2% and inflation fell 0.8% in February driven by lower fuel, food, and beverage costs. Unemployment declined slightly in February but employment and permanent contracts rose over the last year. Political uncertainty led to a €70.2 billion capital outflow from Spain in 2015, the worst since 2012. The UK referendum on EU membership could weaken the EU economy if Britain votes to leave.
Highlights:
In August, annual inflation returns to positive territory
Manufacturing growing fast in July
External complications do not impair Latvia's exports going uphill
Sadaļā In Focus:
Research: Latvia's 2008-2009 wage adjustment stronger than thought before, by Ludmila Fadejeva and Olegs Krasnopjorovs
We are glad to share with you the Global M&A Partners' Industrial Insider our quarterly report on M&A transactions. Should you have any queries or M&A project, please contact your local Global M&A Partners industrial sector team member.
The document discusses the effects of geopolitical crisis between Russia and Ukraine on Latvia's economy. It finds that the effects have been less significant than initially feared, as Russia remains Latvia's second largest trading partner despite a slight decline in exports and imports. Specifically, it notes that the Russian economic weakness has had a bigger impact than sanctions. Certain industries like dairy farmers and food manufacturers have been negatively impacted by sanctions and lower Russian demand. However, the overall effects on Latvia's economy have been limited so far. Risks remain from further potential sanctions or disruptions in gas supply from Russia.
Latvijas Banka Monthly Newsletter: November 2018Latvijas Banka
"Highlights":
Latvia reports faster growth than before
Growth in manufacturing remains stable
Unemployment in Latvia continues its downward trend
"In Focus":
Latvia's energy sector: challenges and prospects
It is likely that the impending trade war will be limited to individual product groups. If so, growth will continue in Finland this and the next year. The economic recovery shows that Finland has not been endowed with the exceptionally serious structural problems as alleged. Because of spending cuts and other measures, the strong economic development will not improve the situation of all population groups equally. The growth of income inequality should be mitigated by updating basic social security, which would include index adjustments of benefits no later than 2019.
Highlights
> Consumer price level down year-on-year
> Industrial production increased year-on-year in August
> Latvian exports resist unfavourable external factors
In Focus
>Exports of wood: contribution to total exports and changes
Global M&A Industrial insider Q4 2018 industrial machine visionVeronique Zeid-Maurel
Happy to share with you our quarterly report on M&A activities in the industrial segment, there is a special focus on industrial machine vision.
To know more, contact your local Global M&A Industrial sector team member.
https://www.globalma.com/industry_sectors
Manufacturing output in Latvia grew 3.3% in February month-over-month according to seasonally adjusted data, though annual manufacturing output dropped 0.6% overall. Some manufacturing sub-sectors saw substantial annual growth, while the wind-down of a large metals company continued to negatively impact basic metals manufacturing. Exports of goods grew in February helping improve Latvia's foreign trade balance, despite challenges from the conflict between Russia and Ukraine which are important trade partners. Annual inflation dropped to 0.3% in March due to seasonal factors and lower food prices compared to the previous year.
The high level of restructuring at the establishment level of the economy in terms of excess job reallocation (i.e. simultaneous gross job creation and destruction) and churning (i.e. excess worker turnover) lowers the unemployment rate in the Finnish regions.
Global M&A Partners Industrial insider Q3 2018 focus on predictive maintenanceVeronique Zeid-Maurel
Happy to share with you our quarterly report on M&A activities in the industrial segment, there is a special focus on predictive maintenance. To know more, contact your local Global M&A Industrial sector team member. http://www.globalma.com/industry_sectors/industrials
The document summarizes recent economic data from the UK. It notes that GDP growth slowed to 0.5% in the third quarter of 2015, with services growth remaining strong but manufacturing and construction declining. Unemployment has fallen to 5.4%, its lowest since 2008, with reductions across age groups and durations of unemployment. Average weekly earnings grew 2.8% in the latest period, with private sector pay growth stronger than public sector. Real earnings growth has picked up from post-downturn lows but remains below pre-2008 levels in most industries.
Latvijas Banka Monthly Newsletter: June 2018Latvijas Banka
Latvijas Banka Monthly Newsletter provides accurate and concise information about the most topical and important developments in the Latvian national economy.
North West Brexit Monitor September 2016sampopperVSNW
The document provides an economic monitoring report for the North West region of the UK after the Brexit referendum. Key points include:
- Recent economic data shows a rebound in the UK economy, but growth prospects remain uncertain due to Brexit.
- The North West saw the largest increase in business activity and consumer confidence bounced back across the UK in August.
- Manufacturing output fell in July but the sector rebounded in August. Services output and new business also increased.
- Terms of trade and regulations remain unclear as negotiations have not begun. EU funding is guaranteed for approved projects.
- Housing prices have not been significantly impacted yet but uncertainty may slow investment in commercial property.
- Unemployment rose slightly in the
Dear all,
I'm glad to share with you our quarterly report on M&A activities in the industrial segment, the Industrial Insider.
There is a special focus on the Industrial Internet Of Things, IOT.
Should you have any quieries, don't hesitate to contact your local Global M&A Partners' Industrials' sector team representative.
Promoting a stronger and more inclusive economy OECD Economic Survey Hungary ...OECD, Economics Department
The OECD Economic Survey of Hungary 2019 document discusses several key points:
1) The Hungarian economy is growing strongly but policies are needed to address risks to the recovery.
2) Greater economic inclusiveness would bolster growth as poverty and unemployment remain issues in some regions.
3) Population aging will significantly increase costs related to pensions and healthcare, which need to be addressed through reforms.
The white paper discusses global economic trends and challenges facing Japan. It notes that structural changes are occurring in emerging economies as growth models transition from investment-driven to consumer-driven. Global growth expectations are declining as advanced economies struggle with low demand while emerging markets face excess capacity and debt issues. New sources of growth are emerging, however, as countries pursue reforms and innovation.
This paper deals with the question of how consumption taxes, especially the value-added tax, affect consumption prices. The analyses are based on data from EU countries for the period 1970–2004. The starting point is a conventional supply-demand analysis of the tax incidence problem. This problem is solved using some simple price mark-up equations, Phillips curves and inflation forecast error equations. All these equations are estimated from panel data from EU countries using different estimators and variable specifications. In addition, an analysis is carried out with Finnish excise taxes using commodity/outlet level micro data for the period 1997–2004. A general result of all analyses is that about two thirds of a tax increase shifts to consumer prices. By contrast, there is less evidence on shifts to producer prices.
The document summarizes economic developments in Mongolia in the first half of 2017. It notes that the Mongolian economy grew by 5.3% in the first half of 2017, driven by strong growth in the services sector and agriculture. Coal production increased significantly, with coal exports more than quadrupling. However, mining overall contracted due to weaker copper production. Investment growth contributed substantially to GDP growth, while high imports reduced the contribution of net exports. Inflation increased to 3.0% due to currency depreciation but remained modest. The fiscal deficit narrowed significantly on the back of higher revenues. The current account deficit also narrowed as exports increased. Growth is projected to remain solid in 2017-18, while inflation and
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Purchasing Managers' Index Report May 2010Swedbank
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank's Global Economic Outlook, 2010 AugustSwedbank
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank Economic Outlook - 2010, September 21Swedbank
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Russia - sharp slowdown and protacted recoverySwedbank
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
"Highlights":
* Manufacturing growth supported by nearly all sectors
* Exports regain pace
* Inflation boosted by global food prices growth while oil prices decrease
"In Focus":
* Comparison of the Baltic States' exports, author Daina Pelēce
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
1) Estonia has attracted the most foreign direct investment as a percentage of GDP from euro area countries and other Baltic states since adopting the euro.
2) Latvia and Lithuania saw large drops in FDI, mainly due to restructuring at Swedbank.
3) Adopting the euro is expected to help Latvia attract more foreign investment by increasing credibility, though responsible fiscal policy is also important.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
The Latvian economy experienced slower GDP growth of 1% in 2016 due to delayed absorption of EU funds, but fundamentals remain robust. While industrial production and exports exceeded records, the labor market continued improving. The 2016 slowdown was temporary and GDP growth is expected to rebound in 2017. To accelerate convergence with Western Europe, the focus should shift to supply-side reforms in public institutions, education, and healthcare to strengthen potential GDP growth.
Highlights:
- Broad-based growth drives GDP acceleration
- Inflation has reached its upswing potential
- Increase in external demand accelerates external trade
In Focus:
- "The importance of high value added services exports is growing for Latvia's economy" by Linda Vecgaile
1) The March quarter saw stronger than expected GDP growth of 1.1% quarter-on-quarter and 3.1% year-on-year, driven by net exports, consumer spending, and dwelling investment.
2) While headline GDP growth appears favorable, domestic economic activity outside of housing remains sluggish, with private demand and business investment declining.
3) The information, media, and telecommunications sector continues to outperform the broader economy, with annual growth of 5.5% compared to 3.1% for GDP overall, driven by technological developments and demand for data across fixed and mobile networks.
Latvijas Banka Monthly Newsletter December 2018Latvijas Banka
The current account ran a deficit of 1.0% of GDP in the first nine months of 2018 due to a sharp rise in goods imports from Russia and Lithuania driven by higher volumes and prices of imports. Services exports continued to post a surplus. GDP growth was rapid at 5.3% in Q3 due to strong domestic demand from growing investment and consumption. Wage growth remains solid as unemployment declines and labor demand increases.
Highlights:
- Current account reflects the recovering investment activity
- Annual inflation continues hovering around 3%
- GDP growth exceeds expectations and leads to revised forecasts
In Focus:
- Latvia 2017: Back to growth and structural reforms, by Mārtiņš Grāvītis
Consumer prices in February remained broadly unchanged with annual inflation at 0.5%. While prices for winter clothing offset rising prices for seasonal tourist services, external factors like slightly higher oil prices contributed to marginal fuel price rises. Inflation is expected to remain positive in the coming months, albeit potentially lower than previously forecast due to delays in electricity market liberalization.
Annual inflation in May dropped slightly to 0.6% due to falling food prices, while core inflation remained at its April level. GDP growth slowed to 0.6% quarter-over-quarter in the first quarter, remaining around 2.8% year-over-year. The Russia-Ukraine conflict has weakened investor sentiment and external demand, posing risks to Latvia's economy. Latvijas Banka has lowered its GDP and inflation forecasts for 2014 in light of softer growth in key export partners and uncertainty from geopolitical tensions.
"Macroeconomic Developments Report", October 2013Latvijas Banka
The document provides a macroeconomic developments report for October 2013. It summarizes developments in Latvia's external sector and exports in the second quarter of 2013. Key points include:
- Latvia's exports continued to grow but at a slower annual rate due to weakening demand from major trade partners. Exports of base metals declined due to a factory closure.
- Imports declined in both volume and value as production and investment activity decreased. Imports of base metals and vehicles fell the most.
- Despite challenges, Latvia increased its share of world imports according to WTO data. The report examines economic conditions in Latvia's key trade partners.
1) The document analyzes macroeconomic indicators and forecasts for the Polish economy from 2013-2023. It finds that Poland experienced the second fastest economic growth in the EU from 2004-2018 at an average annual rate of 3.92%.
2) Key indicators like GDP, employment, exports, and consumer spending have grown in recent years, but productivity and wages in agriculture remain low compared to other sectors. Further fiscal consolidation is needed to reduce the budget deficit and debt.
3) The economy is projected to remain strong in the short-term, supported by monetary and fiscal policies as well as EU transfers. However, risks include a potential slowdown in the global economy and challenges in reducing unemployment over the long-run
"Highlights":
* 2016 passed in expactations of investment and in the environment of weak external demand
* Wages grew at a slower rate last year
* Current account recorded a surplus of 369.5 million euro or 1.6% of GDP in 2016
"In Focus":
* Foreign direct investment globally and in Latvia, autore: Santa Bērziņa
- The Baltic Sea region experienced a steep economic decline in 2009, with GDP falling 5.9%. Growth is expected to return in 2010 and 2011 at rates of 2.6% and 3.1% respectively.
- The recovery is dependent on continued growth in emerging markets, which are currently the main drivers of the global economy. Risks to the outlook include turbulence in financial markets and the eurozone sovereign debt crisis potentially slowing demand.
- Structural reforms are still needed across the region to strengthen competitiveness and ensure sustainable long-term growth as countries deal with the effects of the crisis.
Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.
"Highlights":
* Energy prices keep annual inflation below zero
* Manufacturing growth regains momentum
* Latvia's exports: a zigzag path maintained
"In Focus":
* Latvia's exports to euro area: developments after joining, autore: Daina Pelēce
Similar to The Estonian Economy - 2010 September (20)
Swedbank corporate presentation April 25 2017Swedbank
This document provides an overview of Swedbank, a bank operating in Sweden, Estonia, Latvia, and Lithuania. It details that Swedbank has over 16 million inhabitants, 7.3 million private customers, and 651,000 corporate customers across its four home markets. Key figures on branches, employees and lending are also provided for each country. The document discusses Swedbank's history, vision, values, purpose and engagement in society. It outlines challenges from new customer needs, competitors, regulations and economic developments, and how Swedbank is adapting. Services provided to private and corporate customers are also summarized.
The interim report summarizes Swedbank's financial results for the first quarter of 2017. Net interest income and lending volumes increased compared to the previous quarter, while net commission income decreased due to seasonal effects. Overall profits increased 25% compared to the first year, strengthened by a capital gain from the sale of Hemnet. Credit quality remained strong across all business segments, though additional provisions were made for oil-related sectors. The report provides an overview of each business segment and notes that economic indicators have strengthened in Sweden and the Baltic countries in recent months.
Swedbank reported its year-end results for 2016. In Q4 2016, net interest income increased 3% compared to Q3 2016 supported by increased lending volumes. Net commission income benefited from positive stock market development. Higher volumes of covered bond repurchases weighed down Treasury's result. Costs were in line with expectations and credit quality remained solid despite increased provisions in oil related sectors. For the full year 2016, total income increased 11% while total expenses increased only 1%, leading to an 18% rise in operating profit. Return on equity was 15.8% and the proposed dividend per share was SEK 13.20, up from SEK 10.70 the previous year.
Swedbank corporate presentation, February 2 2017Swedbank
Swedbank is a major banking group in Sweden, Estonia, Latvia, and Lithuania, serving over 16 million inhabitants and 7.3 million private customers. It has 389 branches and over 13,700 employees across its four home markets. The document provides an overview of Swedbank's operations and presence in each of its home markets, its financial figures, strategic focus areas, engagement in society, and the services it provides to both private and corporate customers.
Swedbank Corporate Presentation, October 25 2016Swedbank
Swedbank is a major bank operating in Sweden, Estonia, Latvia, and Lithuania with over 14,000 employees. It has a presence in several other Nordic and Baltic countries as well as in China, South Africa, Luxembourg, and the US. The bank provides a variety of financial services to over 7 million private customers and 640,000 corporate customers. Swedbank is adapting to changes in customer needs, regulations, competitors and the macroeconomic environment to remain a strong, relevant bank.
Swedbank Corporate Presentation, June 30 2016Swedbank
Swedbank is a Swedish bank that provides banking services to individuals and businesses. It has over 2.4 trillion SEK in total assets and 7.3 billion SEK in operating profits. It operates primarily in Sweden, Estonia, Latvia, and Lithuania, serving over 4 million private customers and over 500,000 corporate customers. Swedbank aims to be accessible to customers through its branches, phone, and digital channels and to promote financial well-being for households and enterprises.
Swedbank is a bank based in Sweden with operations also in Estonia, Latvia, Lithuania and other markets. As of March 31, 2016 it had total assets of SEK 2,404 billion and an operating profit of SEK 5,275 million. It aims to promote sound financial situations for households and enterprises through offering banking services such as savings, loans, investments and insurance. The presentation provides an overview of Swedbank's home markets, history, values of being simple, open and caring, and private and corporate banking services.
The presentation outlines Swedbank's purpose, history, values, products and services for private and corporate customers, and emphasizes its commitment to being accessible and providing a positive experience for customers.
This document provides Swedbank's year-end report for 2015. It summarizes that Swedbank's profit for the fourth quarter was stable at SEK 3.8 billion despite challenges from lower interest rates and economic uncertainty. Total income was SEK 9.5 billion for the quarter. For the full year, profit was SEK 15.7 billion, down 4% from 2014, as lower interest rates reduced net interest income despite increased mortgage and deposit volumes. The CEO commented that priorities in 2015 were improving customer value, increasing efficiency, and integrating Sparbanken Öresund.
Swedbank Corporate Presentation, September 2015Swedbank
The bank aims to promote sound financial management for households and enterprises through products like loans, savings, investments, and insurance that are accessible via branches, phone, and online banking designed to be simple, open, and caring.
South Dakota State University degree offer diploma Transcriptynfqplhm
办理美国SDSU毕业证书制作南达科他州立大学假文凭定制Q微168899991做SDSU留信网教留服认证海牙认证改SDSU成绩单GPA做SDSU假学位证假文凭高仿毕业证GRE代考如何申请南达科他州立大学South Dakota State University degree offer diploma Transcript
In a tight labour market, job-seekers gain bargaining power and leverage it into greater job quality—at least, that’s the conventional wisdom.
Michael, LMIC Economist, presented findings that reveal a weakened relationship between labour market tightness and job quality indicators following the pandemic. Labour market tightness coincided with growth in real wages for only a portion of workers: those in low-wage jobs requiring little education. Several factors—including labour market composition, worker and employer behaviour, and labour market practices—have contributed to the absence of worker benefits. These will be investigated further in future work.
University of North Carolina at Charlotte degree offer diploma Transcripttscdzuip
办理美国UNCC毕业证书制作北卡大学夏洛特分校假文凭定制Q微168899991做UNCC留信网教留服认证海牙认证改UNCC成绩单GPA做UNCC假学位证假文凭高仿毕业证GRE代考如何申请北卡罗莱纳大学夏洛特分校University of North Carolina at Charlotte degree offer diploma Transcript
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
New Visa Rules for Tourists and Students in Thailand | Amit Kakkar Easy VisaAmit Kakkar
Discover essential details about Thailand's recent visa policy changes, tailored for tourists and students. Amit Kakkar Easy Visa provides a comprehensive overview of new requirements, application processes, and tips to ensure a smooth transition for all travelers.
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...AntoniaOwensDetwiler
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
STREETONOMICS: Exploring the Uncharted Territories of Informal Markets throug...sameer shah
Delve into the world of STREETONOMICS, where a team of 7 enthusiasts embarks on a journey to understand unorganized markets. By engaging with a coffee street vendor and crafting questionnaires, this project uncovers valuable insights into consumer behavior and market dynamics in informal settings."
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
1. The Estonian Economy
Monthly newsletter from Swedbank’s Economic Research Department
by Elina Allikalt No. 4 • 30 September 2010
Economic Research Department. Swedbank AB. SE-105 34 Stockholm. Phone +46-8-5859 1000.
E-mail: ek.sekr@swedbank.com www.swedbank.com
Legally responsible publisher: Cecilia Hermansson, +46-8-5859 7720.
Maris Lauri, +372 6 131 202. Elina Allikalt, +372 6 131 989. Annika Paabut, +372 6 135 440.
Economic growth resumed, but recovery varies
between sectors
With the third consecutive quarter of positive GDP growth reported in the second
quarter, annual positive economic growth also resumed after more than two years of
contraction. The growth was founded on strong external demand, while domestic
demand continued to be weak.
Economic sectors gaining the most from the increased external demand were
manufacturing and energy supply. Several services sectors also resumed growth,
while most sectors dependent on domestic demand continued to decline (e.g.,
construction and domestic trade).
Productivity has been growing for several quarters, reflecting large-scale cost cutting
and restructuring.
Earlier this month, Statistics Estonia reported a third
consecutive quarter of positive economic growth in
the second quarter (1.9% seas.adj.), and as a result
annual positive growth was also resumed (3.1%),
after more than two years of contraction. This
recovery was primarily based on strong export
growth due to increased demand on the main
Estonian export markets. In contrast, consumption
and investment continued to decline as domestic
demand remained weak; total domestic demand,
nevertheless, reported positive growth but only
because of a sharp growth in inventories (9% of
GDP), as companies were increasingly restocking
after two years of decline.
Despite the export-led economic growth, the
contribution of net exports turned negative after
more than two years of positive impact. Import
growth (23%) outpaced that of exports (18%) for
two reasons. First, since most of the input for
Estonia’s exports is imported (including energy and
raw materials), it is only natural that both trade
volumes increase hand in hand. But since weak
domestic demand presents no additional pressures
for import growth, the growth of goods exports
continued to be stronger than that of imports (29%
vs. 25%). Second, imports of services were up by
17%, while exports of services remained flat. This
increase in imports, however, can also be linked to
recovered goods’ exports because it occurred
mostly in freight transport and related services
(especially strong growth was reported in the sea
and road transport sectors).
Components of economic growth, 1Q 2005 - 2Q 2010
(Contributions to annual growth, percentage points)
-40%
-30%
-20%
-10%
0%
10%
20%
30%
2005 2006 2007 2008 2009 2010
Consumption Inv estment
Inv entories Net exports
GDPSource: SE
Recovery founded on manufacturing
exports
As the economic growth in the second quarter was
strongly export oriented, the recovery varied
strongly across economic sectors as well,
depending on the sector’s dependency on the
domestic market and the companies’ ability to
2. The Estonian Economy
Monthly newsletter from Swedbank’s Economic Research Department, continued
Nr 4 • 30 September 2010
2 (4)
adjust and restructure according to the changing
economic situation.
Structure of value added growth in selected economic
activities, 1Q 2006 - 2Q 2010
(Contributions to annual growth, percentage points)
-20%
-15%
-10%
-5%
0%
5%
10%
15%
2006 2007 2008 2009 2010
Other
Real estate,
renting etc.
Transport,
storage,
communic.
Domestic
trade
Cons-
truction
Manu-
f acturing
annual
growth
Source: SE, Swedbank calculations
Manufacturing sales, Jan 2007 - Jul 2010
(Annual growth, three-month averages)
-40%
-30%
-20%
-10%
0%
10%
20%
30%
40%
50%
2007 2008 2009 2010
Domestic Export TotalSource: SE
As mentioned above, goods’ exports were up by a
strong 29% in the second quarter. Thus, the biggest
value-added growth, of 20% was registered in the
manufacturing sector, which contributed 3% to total
economic growth. Although manufacturing was one
of the rare sectors to show growth already in the
first quarter, its impact increased significantly in the
second (see chart). The strongest recoveries in
manufacturing were seen in electric and optical
appliances, wood and wood products, and metal
and metal products. The monthly foreign trade
figures show that the nominal export growth of
these product groups was 29%, 45%, and 69%,
respectively, in the second quarter. The main export
partners were Finland, Sweden, and Russia, with
export flows to those countries increasing by up to
40% in an annual comparison.
The only manufacturing sector that continued to
contract was food products, beverages, and
tobacco, due to its stronger dependency on
domestic demand developments. The
manufacturing of textile products and building
materials, which was also hit hard by slumping
domestic demand, managed to resume positive
growth in the second quarter, but only by 5%.
Manufacturing sectors, 1Q 2007 - 2Q 2010
(Contributions to annual value added growth, percentage points)
-35%
-25%
-15%
-5%
5%
15%
25%
2007 2008 2009 2010
other
transport
equipment
electrical
appliances
metals
building
materials
rubber, plas-
tic, chemicals
wood, paper
f ood,
bev erage
total
Source: SE, Swedbank calculations
Strong export growth also boosted the output of the
energy supply sector (10% annual increase) and
the mining sector (17%), which is related to the
energy sector by electricity production. However,
despite strong growth, the contribution to overall
growth of those sectors was rather small (0.4%),
due to their small share in value-added output.
Nevertheless, Estonia is the only electricity net
exporter in the Baltic region (domestic consumption
makes up about two-thirds of total production),
covering a large part of the electricity deficit in
Latvia and Lithuania, and it also exports to Finland.
As the economic activity in the other Baltic
countries continues to recover, Estonia’s electricity
exports are expected to remain strong in order to
cover their growing deficits.
The best performing services sector was financial
intermediation, growing by 11% annually and
contributing 0.4% to overall growth. The growth of
this value added was most influenced by the
increase in incomes by the banks through service
fees, but the rising net premiums of insurance
companies also played a part. Also, the real estate,
renting, and other business activities sector, which
covers the biggest share of total value added in the
economy (one-fifth in the second quarter) reported
positive, albeit marginal, growth after two years of
3. The Estonian Economy
Monthly newsletter from Swedbank’s Economic Research Department, continued
Nr 4 • 30 September 2010
3 (4)
decline, of 1%, thereby contributing 0.2% to the
economic recovery.
Continuously declining activities affected
by weak domestic market
Construction was among the sectors hardest hit
during the recession after the bursting of the real
estate bubble; as the second- quarter data show,
recovery to positive growth has yet to be seen –
value added in construction fell by 8%, weakening
value-added growth by 0.5%. The slump in the
domestic market has been so severe that, although
many Estonian companies are targeting more
works abroad (the share of works done abroad
increased to 9% in 2010, up from just 2-3% during
2006-2007), overall construction works carried out
are continuing to fall. While the construction of
buildings is at its lowest level since the boom years,
civil engineering construction has been much more
resilient, mostly supported by public sector projects
and EU funds. Moreover, the draft budget for 2011
includes a record share for investments (16% of
total budget, or ca EUR 1bn) with roughly one-
fourth of this targeted to road construction. As
private sector projects are to remain scarce, the
public sector will be the main driver of recovery in
the construction sector.
Construction sector, 1Q 2005 - 2Q 2010
-80
-60
-40
-20
0
20
40
60
2005 2006 2007 2008 2009 2010
Conf idence, points
Volumes, annual growth, %
Value added, annual growth, %Source: SE, DG ECFIN
The transport, storage, and communications sector,
which is rather dependent on domestic economic
activity, continued to contract in the second quarter
as well, by 3%, slowing value-added growth by
0.3%. Revenues of transport service companies
grew by 14% annually in nominal terms, with the
biggest gainers being freight transport and road
transport, growing by 18% and 21%, respectively;
all other sectors, except railroad transport, reported
growing revenues as well. Most of this growth was
supported by increased revenues from services
provided abroad, as growth on the domestic market
was much slower. Revenues in storage- and
transport-related services have been growing for a
year now, accelerating to 24% in the second
quarter.
The wholesale and retail trade sector reported
marginal 0.3% growth, supported by an increase in
wholesale trade. As roughly three-fourths of
domestic trade is done through wholesale, its
growth had a big impact on the outcome. Wholesale
trade increased in all major categories, including
food products and machinery and equipment. Retail
trade growth, as the closest indicator to private
consumption, is, not surprisingly, still negative.
Domestic trade, 1Q 2005 - 2Q 2010
(Annual growth of nominal sales)
-30%
-20%
-10%
0%
10%
20%
30%
40%
2005 2006 2007 2008 2009 2010
Retail trade WholesaleSource: SE
Sales of tourism and catering services, 1Q 2006 - 2Q 2010
(Annual growth)
-40%
-30%
-20%
-10%
0%
10%
20%
30%
40%
50%
2006 2007 2008 2009 2010
No of f oreign tourists Accommodation
Catering Touring serv icesSource: SE
Although value added by the hotels and restaurants
sector declined by 3%, this had only a marginal
effect on the overall economic outcome. Here as
well, the downturn was prolonged by weak
domestic demand, especially with regard to catering
4. The Estonian Economy
Monthly newsletter from Swedbank’s Economic Research Department, continued
Nr 4 • 30 September 2010
4 (4)
services. In contrast, the number of tourists visiting
Estonia has been record-high this year, supporting
the recovery in the accommodations sector. Other
tourism-related services, however, are lagging, as
foreigners are increasingly visiting Estonia for
reasons other than just “sightseeing” and are
tending to travel on their own, for shorter periods,
and to spend less.
Overall, the sectors that are more affected by weak
domestic demand and continuously falling private
consumption will catch up as domestic demand
starts to recover more; we see this happening by
the end of this year, but more noticeably next year.
However, export growth is expected to outpace that
of private consumption for at least a couple of
years; this, in turn, will further encourage
companies to restructure and look for new markets.
Productivity growing
The most positive data from the second quarter are
that, together with a resumption in economic
growth, productivity is continuing to increase
further, as costs are still declining. Depending on
which measure is used, productivity has been
gaining ground for many quarters. The
manufacturing sector, which was the engine for
economic growth, is leading the productivity growth
figures; even more, the nominal levels are
exceeding those seen during the highest production
years (2006-2007). This has been achieved in a
situation when, the number of hours worked has
fallen by about 30% from the peak, the production
volumes are about 20% lower. Despite harsh cost
cutting, manufacturing was the rare sector to report
an increase in investment in the second quarter (of
43% vs. a. 12% decline on average in the
economy), with the strongest increases seen in the
purchases of vehicles, computers, and other
equipment and machinery.
The number of employed, as well as hours worked,
is still decreasing in an annual comparison
(however, small seasonal quarterly growth was
reported). As positive economic growth resumed,
companies started adding working hours to those
already employed, resulting in a smaller decline in
hours worked vs. people employed (-6% and -8%,
respectively). With economic growth picking up the
pace in the coming quarters, companies will
inevitably have to start increasing employment to
meet the growing demand. This, in turn, will slow
productivity gains, even more because the biggest
cuts in costs are already behind and most of the
inevitable restructuring has already been done.
Enterprises productivity, 1Q 2006 - 2Q 2010
(Annual growth)
-30%
-20%
-10%
0%
10%
20%
30%
2006 2007 2008 2009 2010
Value added growth
Hour productiv ity
No of hours workedSource: SE
Swedbank
Economic Research Department
SE-105 34 Stockholm
Phone +46-8-5859 1028
ek.sekr@swedbank.com
www.swedbank.com
Legally responsible publisher
Cecilia Hermansson, +46-88-5859 7720
Maris Lauri +372 6 131 202
Elina Allikalt +372 6 131 989
Annika Paabut +372 6 135 440
Swedbank’s monthly newsletter The Estonian Economy is published as a service to our
customers. We believe that we have used reliable sources and methods in the preparation
of the analyses reported in this publication. However, we cannot guarantee the accuracy or
completeness of the report and cannot be held responsible for any error or omission in the
underlying material or its use. Readers are encouraged to base any (investment) decisions
on other material as well. Neither Swedbank nor its employees may be held responsible for
losses or damages, direct or indirect, owing to any errors or omissions in Swedbank’s
monthly newsletter The Estonian Economy.