RTTNews - Monday, the Statistics Iceland said in a report that the gross domestic product or GDP dropped a seasonally adjusted 3.6% sequentially in the first quarter, after a 0.9% decline in the fourth quarter, indicating recession has set in to the country. Two consecutive quarters of decline indicates a technical recession.

During the first quarter, total domestic expenditure dropped 3.3% in real terms, reflecting a 2.2% decline in government final consumption, but a 1.7% rise in household consumption expenditure. Gross fixed capital formation was down 31.3%.

At the same time, exports decreased 1.9% , while imports rose 7.8% in the first quarter compared with the previous quarter.

Year-on-year, the GDP dropped 3.9% in the first quarter compared to a 1.5% fall in the fourth quarter.

For comments and feedback: contact editorial@rttnews.com