GDP Components and GDP(%)

From nearly 80% of GDP, private consumption is now around 50% – that means more and more of our economy is dependant on the other factors: Fresh investment, Government Expenditure and Net Exports. The good thing still is that if we encourage private consumption, we will have the highest GDP impact; but our policies lead us to desire saving instead of spending.

Private consumption has been dipping and a larger amount of GDP has been as investments, or “gross capital formation”.