Construction remains one of the strongest parts of the economy

The latest commentary from Strathclyde University's Fraser of Allander Institute says the Scottish economy appears to be catching up with England.

The annual rate of growth in Scotland is now greater than the UK as a whole.

The authors of the commentary have revised upwards their estimates of recent Scottish growth.

This was in line with a new way of calculating the figures, which has been adopted in government research.

But the report calls for the government to improve the information it provides about the relative importance of different sectors.

It said: "When popular discourse has seriously overestimated the contribution of electronics to the Scottish economy, we feel that there is a need for more openness and transparency from the executive in the production and discussion of the Scottish GDP statistics."

Construction boom

Although the latest quarterly figures still indicate weaker growth in Scotland than the UK as a whole, the annual figure for Scotland is 2.1%, compared with 1.6% for the UK.

The report indicated that construction remains buoyant and manufacturing is predicted to start a period of modest growth.

It highlighted several factors which should encourage recovery.

The global economy is said to be strengthening, with the UK as a whole moving closer to its long-term trend for growth.

The institute has now forecast Scottish growth of 2.1% this year, and 2.7% in 2005.