Eurozone GDP growth rate exceeds expectations

Eurozone GDP for the second quarter of 2024 increased 0.3% from the previous fiscal year, the same as the previous fiscal year, and exceeded the expected 0.2% increase.

Major economies such as France (up 0.3% from the previous fiscal year), Italy (up 0.2%), and Spain (up 0.8%) grew in the same quarter.

Belgium (0.2% vs. 0.3%), Ireland (1.2% vs. 0.7%), Portugal (0.1% vs. 0.8%), and Lithuania (0.9% vs. 0.9%) also grew.

Meanwhile, in Germany, which is the largest economy, the industrial sector continued to be exhausted due to high interest rates, and unexpectedly contracted by 0.1%.

Also, Latvia contracted by 1.1%, and Austria's GDP stalled with a 0.2% increase.

Eurozone GDP increased 0.6% from the same period last year, and was revised upward from the 0.5% increase in the first quarter, exceeding the forecast 0.5% increase, making it the biggest increase in the past 5 quarters.

The European Commission expects the Eurozone economy to grow 0.8% this year after a major stagnation in 2023.

Source: Eurostat