Outlook and appraisal [April 2007]

Ashcroft, Brian (2007) Outlook and appraisal [April 2007]. Quarterly Economic Commentary, 31 (3). pp. 3-10. ISSN 0306-7866

[thumbnail of FEC_31_3_2007_AshcroftB]
PDF. Filename: FEC_31_3_2007_AshcroftB.pdf
Final Published Version
License: Unspecified

Download (484kB)| Preview


The Scottish economy continues to grow quite quickly compared to trend with growth of 2.3% anticipated for 2006. This buoyant growth occurs against a background of strong growth in the UK with GDP rising by 2.7% last year. Despite uncertainties over the US economy, rising oil prices in the short-run due to political uncertainties in the Middle East and some pick up in the UK inflation rate, which may prompt a further rise in UK interest rates to 5.5%, above trend growth is expected to continue in Scotland in 2007 and 2008.