According to a flash estimate released on Tuesday by the National Statistics Institute (INE), Gross Domestic Product (GDP) increased by 2.1% in volume in the first quarter of 2018 (2.4% in the previous quarter) and compared to the fourth quarter of 2017, GDP increased by 0.4% in real terms (0.7% in the previous quarter).

Analysts consulted by Lusa estimated that GDP ahd grown by 0.6% compared ot the previous quarter and 2.2% year-on-year.

According to INE, net external demand made a more negative contribution, "as a result of the more marked deceleration of exports of goods and services," than seen for imports of goods and services.

"The positive contribution of domestic demand stabilised in the first quarter, with a slight deceleration in private consumption, while investment showed slightly more pronounced growth, driven by the behaviour of the stock change, reflecting the base effect of the negative contribution seen in the first quarter of 2017," said INE.

The positive contribution of domestic demand increased in the first quarter as a result of the acceleration of gross fixed capital formation (investment) and private consumption, it added.

The Government estimates that the Portuguese economy will grow 2.3% in 2018. The European Commission and the Bank of Portugal have the same estimate, while the IMF is slightly more optimistic, predicting growth of 2.4%.

In 2017, Portugal's GDP posted growth of 2.7%.