Eurozone growth below expectations

The eurozone economy grew 0.1 percent in the first quarter of this year compared to the previous quarter.

The European Statistical Office (Eurostat) has published the main data on the growth rates of the European Union (EU) and the Eurozone in the first quarter of 2023.

Consequently, the seasonally adjusted Gross Domestic Product (GDP) in the 19-member euro zone increased by 0.1 percent in the first quarter of 2023 compared to the previous quarter.

In the euro area, GDP increased by 1.3 percent in the first quarter of the year compared to the same period of the previous year.

MARKET BELOW EXPECTATIONS

Market expectations were for 0.2 percent quarter-on-quarter growth and 1.4 percent year-on-year growth. Therefore, the latest data came in below market expectations.

Seasonally adjusted EU GDP increased by 0.3% in the first quarter compared to the previous quarter and by 1.3% compared to the same period last year.

GDP decreased 2.7 percent in Ireland and 0.3 percent in Austria in the first quarter compared to the previous quarter. GDP, which was flat in Germany, rose 0.2 percent in France and 0.5 percent in Italy and Spain.

Compared with the same period of the previous year, this rate decreased by 0.1 percent in Germany, increased by 0.8 percent in France, 1.8 percent in Italy and 3.8 percent in Spain. (AA)