XN000022-1993-08-27 — Page 4

FRIDAY, AUGUST 27, 1993

NEVERTHELESS, DOMESTIC EXPORTS TO CHINA STILL RECORDED A LARGE INCREASE. DOMESTIC EXPORTS TO A NUMBER OF MARKETS IN THE ASIA-PACIFIC REGION ALSO SHOWED FURTHER CONSIDERABLE GROWTH.

AS THE SHIFT IN EXPORT COMPOSITION CONTINUED, THE SHARE OF RE- EXPORTS IN THE VALUE OF TOTAL EXPORTS ROSE FURTHER, FROM 75% FOR 1992 AS A WHOLE TO 78% IN THE FIRST HALF OF 1993.

IMPORTS ALSO INCREASED SIGNIFICANTLY, BY ABOUT 15% IN REAL TERMS IN THE FIRST HALF OF 1993 OVER A YEAR EARLIER.

MOST OF THIS GROWTH WAS ATTRIBUTABLE TO THE CONTINUED EXPANSION IN RE-EXPORTS.

THE INCREASE IN RETAINED IMPORTS MODERATED TO ABOUT 8% IN REAL TERMS IN THE FIRST HALF OF THIS YEAR OVER THE SAME PERIOD LAST YEAR, FOLLOWING A LARGE INCREASE OF 17% IN 1992.

A VISIBLE TRADE DEFICIT OF $28 BILLION, EQUIVALENT TO 5% OF THE VALUE OF IMPORTS, WAS RECORDED IN THE FIRST HALF OF THIS YEAR.

THIS WAS BROADLY COMPARABLE TO THE DEFICIT OF $26 BILLION, EQUIVALENT TO 6% OF THE VALUE OF IMPORTS, RECORDED IN THE FIRST HALF OF LAST YEAR.

ACCORDING ΤΟ THE PRELIMINARY ESTIMATE OF QUARTERLY GDP IN CONSTANT PRICE TERMS, PRIVATE CONSUMPTION EXPENDITURE, AS THE LARGEST COMPONENT OF DOMESTIC DEMAND, GREW BY 7% IN REAL TERMS IN THE FIRST QUARTER OF 1993 OVER A YEAR EARLIER, FOLLOWING AN 8% INCREASE IN THE PRECEDING QUARTER.

TO

CONSUMPTION OF BOTH DURABLE AND NON-DURABLE GOODS CONTINUED SHOW

RELATIVELY LARGE INCREASE, WHILE CONSUMPTION OF VARIOUS CONSUMER SERVICES ALSO HAD A NOTABLE GROWTH.

A

AS REGARDS GOVERNMENT CONSUMPTION EXPENDITURE, THERE WAS A MARGINAL DECLINE IN REAL TERMS IN THE FIRST QUARTER OF 1993 OVER A YEAR EARLIER, HAVING RECORDED QUITE RAPID INCREASES IN THE PREVIOUS QUARTERS.

LOCAL INVESTMENT, MEASURED IN TERMS OF GROSS DOMESTIC FIXED CAPITAL FORMATION, ROSE BY 7% IN REAL TERMS IN THE FIRST QUARTER OF 1993 OVER A YEAR EARLIER, FOLLOWING AN INCREASE OF 10% IN THE PRECEDING QUARTER.

BY

OF THE MAIN COMPONENTS, EXPENDITURE ON MACHINERY AND EQUIPMENT SURGED BY 19% IN THE FIRST QUARTER, HAVING RISEN EVEN MORE SHARPLY 27% IN THE PRECEDING QUARTER.

EXPENDITURE

IN THE

ON BUILDING AND CONSTRUCTION CONTINUED TO REVIVE, A 7% INCREASE IN THE FIRST QUARTER AFTER A 6% INCREASE PRECEDING QUARTER.

WITH

WORK ON A NUMBER OF MAJOR INFRASTRUCTURAL PUBLIC SECTOR ACCELERATED.

PROJECTS IN THE

HOWEVER, BUILDING ACTIVITY IN THE PRIVATE SECTOR REMAINED RELATIVELY SLACK.

/CONSUMER SPENDING