Guam’s real gross domestic product – adjusted to suppress price changes – increased 2% in 2019, according to the United States Bureau of Economic Analysis.
Guam’s increase in real gross domestic product reflected increased exports, private fixed investment, federal government spending, and consumer spending. Exports were the largest increase, at 2.92%.
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Within the export sector, service exports, which consist mainly of tourist spending, increased the most, at 15.6%. This reflects the record number of visitor arrivals for the year and the growth in average spending by Korean and Japanese tourists, Guam’s main tourist market.
At the same time, imports fell 4.95%, followed by a 0.53% drop in government spending in 2019, according to the agency.
Investment spending made a positive contribution to the economy. Spending on construction and equipment for defense and private projects increased, but was partially offset by lower investment spending by territorial governments.
Private fixed investment rose 8.9%, as business spending on construction increased as a result of project delays in 2017 and 2018, the Bureau of Economic Analysis said.
Consumer spending also rose, the eighth increase in the past nine years. Spending increased for both goods and services, largely reflecting growth in retail trade and health care services.
This article originally appeared on Pacific Daily News: US Bureau of Economic Analysis: Guam’s real GDP grew by 2% in 2019