Eurozone: Eurozone GDP flat in Q1
May 15, 2012
In the first quarter, Eurozone GDP was unchanged over the previous period, according to the flash estimate released by the statistical office (Eurostat) on 14 May. The reading was above both the 0.3% contraction in the fourth quarter and market expectations of a 0.2% drop. On an annual basis, economic growth was also flat, marking a deterioration compared to the 0.7% expansion recorded in the previous quarter. Among the major countries in the region, Germany, which accounts for nearly 30% of the Eurozone's output, was the only one to experience an expansion in GDP (+0.5% quarter-on-quarter), which marked a recovery from the 0.2% contraction recorded in the previous quarter. In France, Q1 GDP was unchanged compared to the previous quarter, which was a deterioration compared to the 0.1% rise seen in Q4. Italy experienced the largest contraction (-0.8% qoq), which marks a third consecutive quarter of declining output. Finally, Spain posted a 0.3% drop, which mirrored the result experienced in the previous quarter.
Author: Armando Ciccarelli, Head of Data Solutions