May 25, 2023
According to provisional estimates from the Organisation for Economic Co-operation and Development (OECD) gross domestic product (GDP) in the OECD rose by 0.4% quarter-on-quarter in the first quarter of 2023, slightly up from 0.2% growth in the previous quarter. Quarterly OECD growth rates have been weak since the first quarter of 2022.
In the G7, quarter-on-quarter GDP growth remained at 0.3% in Q1 2023. GDP growth recovered in Canada, Japan and France (to 0.6%, 0.4% and 0.2%, respectively, compared with flat growth in all three countries in the previous quarter). Growth also picked up in Italy to 0.5% following a contraction of 0.1% in Q4 2022 and was flat in Germany following a contraction of 0.5%. However, GDP growth slowed in the United States (to 0.3%, compared with 0.6%) and it was unchanged in the United Kingdom at 0.1%.
Of the OECD countries closest (geographically) to the war in Ukraine, GDP contracted further in Lithuania in Q1 2023 (minus 3.0%, compared with minus 0.5% in Q4 2022). GDP also contracted in Hungary, although at a slower pace than in the previous quarter (minus 0.2% in Q1 2023, compared with minus 0.6%). However, GDP recovered sharply in Poland (growing at 3.9% in Q1 2023, compared with a contraction of 2.3% in Q4 2022). It remained almost unchanged in the Slovak Republic (at 0.2%, compared with 0.3%).
Among other OECD countries for which data is available, Portugal recorded the strongest GDP growth (1.6%) in Q1 2023, followed by Colombia (1.4%), Mexico (1.3%) and Finland (1.1%). GDP contracted in Ireland (by minus 2.7%).
Source: OECD