Eurozone: Unemployment rate holds steady in August
October 1, 2013
According to data released by Eurostat on 1 October, the number of unemployed fell by 5,000 people in August. The figure followed July's 11,000 drop and marked a second consecutive reduction in the number of unemployed. Despite the decrease, the unemployment rate was stable at the revised 12.0% recorded in July (previously reported: 12.1%), which was slightly under the 12.1% expected market analysts had expected.
A country-based analysis confirms that the divergence in labour market developments between the core European nations and the peripheral economies persists. Greece (27.9% data from June), Spain (26.2%) and Cyprus (16.9%) were the Euro area members with the highest unemployment rates. At the other end of the spectrum, Austria (4.9%), Germany (5.2%) and Luxembourg (5.8%) recorded the lowest unemployment rates. Among the remaining major economies, Italy had the highest jobless rate (12.2%), followed by France (11.0%).
FocusEconomics Consensus Forecast panelists expect the unemployment rate to average 12.0% in 2013, which is down 0.2 percentage points from last month's forecast. For 2014, the panel expects the unemployment rate to average 12.0%.
Author: Armando Ciccarelli, Head of Data Solutions