Real gross domestic product for Guam increased 1.1 percent in 2021 after decreasing 11.4 percent in 2020, according to statistics released today by the U.S. Bureau of Economic Analysis. These statistics were developed under the Statistical Improvement Program funded by the Office of Insular Affairs of the U.S. Department of the Interior.
GDP for 2021
The increase in real GDP reflected increases in personal consumption expenditures, government spending, and private fixed investment. These increases were partly offset by a decline in exports of goods and services. Imports, a subtraction item in the calculation of GDP, increased.
Personal consumption expenditures increased 3.3 percent, primarily reflecting growth in spending on durable goods, such as motor vehicles. Consumer spending was supported by government assistance payments distributed to households through the CRRSA Act and the American Rescue Plan Act.
Government spending increased 2.6 percent, primarily reflecting growth in territorial government spending. Territorial government spending increased 5.8 percent. The increase in spending was supported by federal grant revenues, including Coronavirus Relief Fund payments and Education Stabilization Fund payments authorized by the CARES Act and the American Rescue Plan Act.
Private fixed investment increased 6.8 percent, reflecting growth in equipment and structures. Private-sector construction projects included retail outlets and multiunit residential developments.
Exports of goods and services decreased 49.2 percent. The decrease in exports was accounted for by exports of services, which consists primarily of spending by visitors. Data from the Guam Visitors Bureau arrival summary reports show that visitor arrivals declined 75.8 percent, reflecting the continued effects of the COVID–19 pandemic.
GDP by industry and compensation by industry for 2020
In 2020, real GDP decreased 11.4 percent. The newly available GDP by industry data, which are released on a 1-year lag, reveal that the private sector was the source of decline in real GDP in 2020.
The private sector decreased 18.8 percent, primarily reflecting a decline in accommodations, food services, and amusements. Data from the Guam Visitors Bureau arrival summary reports show that visitor arrivals declined 80.3 percent in 2020. Wholesale and retail trade also decreased, as nonessential businesses throughout Guam were subject to mandatory reductions in operations due to the COVID–19 pandemic.
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