Eurostat has upgraded its 3rd quarter GDP growth estimate for the EU to +0.4% – this matches the unrevised estimate for the Euro-zone and is double the 2nd quarter value of +0.2% in both areas. The comparisons with the level of a year ago are unchanged at +1.0% for the EU and +0.9% for the Euro-zone.
The main drivers of growth in Q3-24 for the EU were inventories and household final consumption, with gross fixed capital formation (investment) also making a significant contribution in the Euro-zone; the negative element for both the EU and Euro-zone was net trade, mainly because of a fall in exports compared to the previous quarter.
One other factor to note is a large increase in Irish GDP in the 3rd quarter (+3.5%). This is often volatile because of the impact of the European headquarters operations of multi-national companies and, although it is still a relatively small economy in the context of the EU/Euro-zone, it will have raised the overall growth rates.
Other than Ireland, the fastest quarter-on-quarter growth rates were in Denmark, Lithuania (both +1.2%) and Cyprus (+1.0%). Five countries – Hungary (-0.7%), Latvia (-0.2%), Austria, Poland and Romania (all -0.1%) – saw their economy contract in the 3rd quarter; only the last two of these had any growth in Q2-24, so Austria, Hungary and Latvia are in a recession.
You can get the Eurostat figures from their website at https://ec.europa.eu/eurostat/web/main/news/euro-indicators (06 December) or request it from MTA.