Croatia - Real Fixed Investment (gross fixed capital formation)





Croatia: Real Fixed Investment (gross fixed capital formation)

Mnemonic IF$.IHRV
Unit Mil. 2010 HRK, NSA
Adjustments Not Seasonally Adjusted
Quarterly 2.59 %
Data 2019 Q1 19,711
2018 Q4 19,214

Series Information

Source Croatian Bureau of Statistics (CBS)
Release Quarterly GDP Estimates
Frequency Quarterly
Start Date 3/31/2000
End Date 3/31/2019

Croatia: GDP

Reference Last Previous Units Frequency
Government Consumption 2019 Q1 18,525 19,347 Mil. HRK, NSA Quarterly
Investment 2019 Q1 28,076 21,699 Mil. HRK, NSA Quarterly
Nominal Fixed Investment (gross fixed capital formation) 2019 Q1 19,579 19,075 Mil. HRK, NSA Quarterly
Nominal Gross Domestic Product 2019 Q1 88,635 94,662 Mil. HRK, NSA Quarterly
Private Consumption 2019 Q1 54,347 59,023 Mil. HRK, NSA Quarterly
Real Fixed Investment (gross fixed capital formation) 2019 Q1 19,711 19,214 Mil. 2010 HRK, NSA Quarterly
Real Government Consumption 2019 Q1 17,290 18,212 Mil. 2010 HRK, NSA Quarterly
Real Gross Domestic Product 2019 Q1 82,734 88,335 Mil. 2010 HRK, NSA Quarterly
Real Investment 2019 Q1 28,298 21,863 Mil. 2010 HRK, NSA Quarterly
Real Private Consumption 2019 Q1 50,563 54,477 Mil. 2010 HRK, NSA Quarterly

Release Information

The source, Croatian Bureau of Statistics, states that this release presents the data series on gross domestic product (GDP) for the period from the first quarter of 2000 to the first quarter of 2015 for the Republic of Croatia by major categories of expenditure and economic activities of the NKD 2007. The data are presented at current prices, constant prices of a previous year and constant prices of a referent year (2010 = 100).

By expenditure approach, GDP is presented at market prices and gross value added (GVA) by activities at basic prices.

Basic chain-linked indices are calculated by using the time series at prices of the previous year or by linking them to a reference year, in this cas 2010=100. Real growth rates are calculated by using the series of basic chain-linked indices.

The time series at current prices of the previous year are additive, meaning total GDP and GVA should be the sum of the relevent compoenent parts.  The constsnt price series with a currency reference year will not have the same additive features.  This is the nature of the chain-linked prices.

Adjustment of quarterly GDP figures according to the revised annual data for the period from 2000 to 2013 was carried out by using the ECOTRIN programme. The ECOTRIN programme has been developed by Eurostat, and provides a set of mathematical and statistical techniques which are used for temporal disaggregation of data series.

During the process of adjustment, the discrepancy between estimated quarterly data and final annual data is minimised. The result is the achievement of consistency of quarterly and annual data, that is, the sum of quarterly data is equal to annual data in every year.

Definitions

The concept and the methodology used are consistent with the European System of National and Regional Accounts.

The GDP measures the total value of final goods and services produced by resident institutional units during a certain period of time.

For the GDP at current and constant market prices by expenditure category, the following classifications were used: the Classification of Individual Consumption by Purpose (COICOP), the Standard International Trade Classification (SITC) and the Central Product Classification (CPC).

The classification of business entities by activities is in line with the NKD 2007, which is directly comparable to the NACE Rev. 2 classification. The product classification, which was used for the calculation of GVA in current and constant prices by activities, is harmonised with the National Nomenclature of Industrial Products and Services, which is comparable to the PRODCOM classification.

The GDP estimates include all activities within the ESA 2010 production boundary and cover the total territory of the Republic of Croatia.

The estimates are prepared on an accrual basis.

Expenditure approach

Current prices

The compilation of the GDP at market prices, according to the expenditure approach at current prices, is based on data from regular surveys of the Croatian Bureau of Statistics, the Ministry of Finance, the Croatian National Bank and the Financial Agency.

Final consumption expenditure of households is calculated from regular surveys of the Croatian Bureau of Statistics on turnover data for retail trade and for hotels and restaurants. Expenditure on other services, which are not covered by regular surveys of the Croatian Bureau of Statistics, was extrapolated from the base year quarterly values by using volume indices from the production approach and relevant cost of living indices until the fourth quarter of 2003. Since the first quarter of 2004, adequate sub-indices of the consumer price indices (CPI) have been used for this purpose.

The government final consumption expenditures data and the non-profit institutions serving households expenditure (NPISH) were calculated by using the Quarterly Statistical Report on Income and Expenditure of Budget and Budgetary Users and Non-Profit Organisations and on the Ministry of Finance data on the general government The difference between the accrual and the cash concepts was provisional. Therefore, the final data were presented according to the accrual concept.

Gross fixed capital formation data were calculated by means of a commodity flow method, using data for production and import of capital goods and construction activity.

Changes in inventories were calculated by using data from the Quarterly Statistical Report on Business Results of Entrepreneurs until the fourth quarter of 2012. In the quarters after 2012, the changes in inventories were calculated by using the data of the Croatian Bureau of Statistics on changes in inventories. The statistical discrepancy was also included in this category (the difference in the GDP calculation by production and expenditure approach).

The application of the Balance of Payment Manual (BPM6) have led to the following changes in the balance of payments current account:

Data on exports and imports include only goods that are a subject to the change of ownership between residents and non-residents. In other words, goods that are exported or imported for finishing, working or processing are no longer seen as a part of the international trade in the balance of payments. The manufacturing services on physical inputs owned by others (finishing, working or processing) are in the BPM6 included in the services’ account. Conclusively, the balance of payments includes only the net value of a service, which implies a processing fee and not the value of remanufactured goods.

When applying the BPM6, the merchanting of goods is shown according to the gross principle within the current account of goods as a separate item. It includes the value of goods under merchanting, which does not cross the customs border of a merchant’s country but is purchased and than sold again abroad. Thus, the buying of goods is shown as a negative export of a merchant’s resident country and the selling of goods is shown as a positive export. Goods under merchanting are shown by transaction costs and not by FOB values, but only in the merchant’s resident country.

Repairs of goods do no longer make a part of exports and imports of goods, but are shown as a part of services.

In financial services, a novelty introduced by the BPM6 includes indirectly measured fees for financial intermediary services (financial intermediary services indirectly measured – FISIM), which means that one part of income from investment is reclassified from the primary income to services.

Constant prices

Individual components of the GDP by expenditure category at constant prices were calculated by deflating the current market price data, using indices at prices of the previous year.

Data on household consumption at constant prices were calculated by using adequate CPI sub-indices.

Concerning government expenditures and expenditures for non-profit institutions serving households, an assumption of constant productivity was applied so that the wage and salary indices at constant prices were calculated by dividing the data on current expenditures on wages and salaries by indices of the number of persons employed. Expenditures on other goods and services were deflated by using adequate CPI sub-indices and industrial producers' price indices.

Gross fixed capital formation data were deflated by domestic and import prices of capital goods and the implicit deflator for construction activity by production approach.

Changes in inventories of final goods and work in progress were deflated by prices of industrial products. Changes in inventories of raw materials were deflated by industrial producers' price indices and import prices of raw materials. For deflation of changes in inventories of goods purchased for resale, a relevant CPI was used.

Export of goods was deflated by using Industrial producer price indices on non-domestic market and Fisher-type unit value indices. Import of goods was deflated by using foreign countries Industrial producer price indices on non-domestic market and Fisher-type unit value indices.

Export of services was deflated by relevant price indices for goods on the domestic market. Import of services was deflated by relevant prices indices on the markets of the most significant trading partner countries.

Production approach

Current prices

The calculation of the GVA at current prices is based on data from regular surveys of the Croatian Bureau of Statistics, the Croatian National Bank, the Croatian Financial Services Supervisory Agency, the Croatian Regulatory Authority for Network Industries and the Croatian Institute for Pension Insurance.

Besides above mentioned data sources, data used for the calculation of GVA are Tax Administration data on taxable and non-taxable supplies. These data are obtainable from value added tax (VAT) declarations submitted by entrepreneurs on the monthly and quarterly bases. The data are collected separately for legal entities and natural persons. The calculation is done for each group at the 2-digit NKD 2007 level.

Data on taxes and subsidies on products were taken over from the data of the Ministry of Finance.

The GDP at market prices was derived from the GVA at basic prices by adding taxes less subsidies on products to the latter total.

Constant prices

The calculation of GVA is given at constant prices of the previous year and at constant prices of the reference year (2010 = 100).

For the compilation at constant prices, various indicators from regular surveys of the Croatian Bureau of Statistics were used as well as data from other institutions. Appropriate volume indices at constant prices were used for data calculation in agriculture, forestry and fishing activities, industrial production, construction, trade, hotels and restaurants, transport, communication and financial activities. The calculation was done at the 2- and 3-digit NKD 2007 levels.

Input indicators (number of employed persons in most cases) at the 4-digit NKD 2007 level were used for most other service activities.

Quarterly data is provisional and calculated according to the preliminary annual calculation. When annual GDP is final, the quarterly data is revised.