European economy expands less than previous estimates

Share
1 min read
The European GDP dipped by 0.1 percent in Q4 2022. (AFP)
Share
  • The European Union of 27 members registered a growth of 0.2% in Q1, in comparison to the first quarter of 2022, where it grew at 0.3%.
  • The European Commission has forecast a rate of 5.8% for inflation in the current year, slightly above its prediction of 5.6% previously.

Brussels, Belgium – The European economy expanded less than previously thought in the first quarter of 2023, the EU statistics agency said Tuesday, revising its previous figure.

The full 27-member EU grew by 0.2 percent instead of 0.3 percent in the first three months of the year compared with the previous period, Eurostat said after compiling revised data.

The agency, however, recorded no change for the single currency eurozone area’s economic growth of 0.1 percent in the first quarter of 2023.

Despite the revision, the EU still avoided a recession last winter after GDP contracted by 0.1 percent in the last three months of 2022.

On Monday, the European Commission boosted its 2023 economic growth outlook for the 20-country euro area by 0.2 points to 1.1 percent.

The EU executive also raised its growth forecast for the bloc as a whole for 2023, but it remains lower than the eurozone at around one percent.

The commission also revised its eurozone inflation forecast, predicting it will reach 5.8 percent this year compared to 5.6 percent in the previous outlook.

SPEEDREAD


MORE FROM THE POST