In the third quarter of 2025, investments fell by 2.9% over the quarter, penalized by a drop in private investment (-9.5%) despite an increase in public investment (+28.2%). Year-on-year, however, they increased by 5.1%, contributing approximately 1.0 point to GDP growth.
Read more Tertiary sector: slight quarterly decline, but still solid annual momentum
After two quarters of growth, investment efforts are slowing down. According to the National Institute of Statistics, “the 2.9% decline observed in the third quarter of 2025 reflects a loss of momentum,” mainly attributable to the downturn in private investment. The latter fell by 9.5%, affected by flagging demand for certain capital goods and services.
In detail, the contraction particularly affects “products from the manufacture of transport equipment, furniture, and professional services,” the institution specifies. This decline is, however, partially offset by strong spending in public buildings and works, as well as in the manufacture of machinery and electrical appliances.
Conversely, public investment showed sustained growth of 28.2% over the quarter, limiting the extent of the overall decline. This dynamic reflects the maintenance of a high level of capital expenditure, mainly driven by the State.
Over one year, the picture appears more favorable. Investments increased by 5.1% compared to the third quarter of 2024, supported by an expansion of public investments of 33.7%, despite a slight decline in private investment (-1.4%). “This development reflects a marked increase in public capital expenditure,” emphasizes the INS.
Overall, investment contributes approximately 1.0 point to GDP growth. The investment deflator, with a moderate increase of 1.0%, also indicates a contained progression in the prices of capital goods and services. This is a signal of cost stability, in a context where the recovery of private investment is still awaited.
