Fixed investment up to 3% in Q1

It remains a key driver of growth.

According to UBS, Fixed investment was relatively resilient, rising 3.0%y/y in 1Q14.

Investment is a key driver of employment and growth. While it is smaller than consumption it often has a larger impact because of greater volatility.

Here’s more from UBS:

Investment peaked at 34% of GDP in 1997 and fell to 17% as of 2008.

UBS expects the driver of investment to transit from the cyclical forces to structural forces.

Specifically, the strong pipeline of infrastructure investment, plus the government’s commitment to increase housing supply, should boost construction investment going forward.