The economy of Estonia expanded 0.9% year-on-year in the first quarter pf 2025, recovering from a revised 0.7% contraction in the previous period. This also marked the first GDP growth since the second quarter of 2024, as private consumption rebounded (0.9% vs -0.8% in Q1). At the same time, government spending increased (2.4% vs 1.3%). Net external demand also weighed on GDP, as exports (2.4% vs 5.7%) rose less than imports (3.5% vs 0.5%). However, fixed investments dropped (-0.3% vs 4.3%). On the production side, most sectors contributed positively to economic activity, led by the energy sector, real estate, and information and communication. On a seasonally adjusted quarterly basis, GDP grew 0.6% in the second quarter, following a revised 0.2% rise in the preceding quarter.