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Taiwan's Q2 GDP growth at 11-quarter low

Xinhua, July 31, 2015 Adjust font size:

Taiwan's nominal GDP expanded 0.64 percent in the second quarter of 2015 year on year, far below the official projection of 3.05 percent, the island's statistics agency said on Friday.

The expansion was the lowest in 11 quarters. After seasonal adjustment, Taiwan's economy slumped 7.65 percent on a quarter-on-quarter annualized basis, according to the agency.

On the demand side, private consumption grew 2.81 percent due to surge of overseas travel and tourist spending as well as stable growth of communication, recreation and culture expenditure.

Real exports of goods and services contracted, including a 13.9-percent annual drop in exports in June, which reflected downturns in foreign demand for electronic components and machinery.

On the production side, the finance and insurance sector, supported by increasing service charges, registered growth of 5.8 percent, but the manufacturing sector decreased 0.19 percent, mainly due to the fall in output of computers, electronic and optical products and the slowdown of electronic parts and components production.

The wholesale and retail trade sector and electricity and gas supply sector decreased 1.54 percent and 9.65 percent respectively.

Nominal GDP value refers to figures that have not been adjusted for inflation. Endi