Gross domestic product (GDP) in the OECD area grew by 0.4% in the fourth quarter of 2010, down from the 0.6% growth recorded in the previous quarter.

GDP contracted by 0.3% in Japan and by 0.5% in the United Kingdom in the fourth quarter of 2010. In Japan the slowdown partly reflected the unwinding of stimulus measures to boost domestic demand while in the United Kingdom it partly reflected the severe weather; with services and construction being particularly affected. Growth also slowed in Germany to 0.4% (from 0.7% in the previous quarter) and Italy to 0.1% (from 0.3%). In the United States growth accelerated to 0.8% from 0.6% in the previous quarter and in France and the euro area growth remained broadly stable at 0.3%. While in the European Union growth fell to 0.2% from 0.5% in the previous quarter.



Relative to a year earlier, GDP in the fourth quarter of 2010 expanded by 2.7% in the OECD area, down from 3.2% in the previous quarter. Among Major Seven* economies, Germany at 4.0% had the highest rate and Italy at 1.3% the lowest.

Over the whole of 2010, GDP in the OECD area expanded by 2.9%, significantly up from the sharp decline of 3.5% recorded in 2009.