European economy in crisis
News_Code: 355186 5/3/2021 2:10:51 PM
European economy in crisis
The recession has intensified in the Eurozone and the European Union.

The EU Statistics Center released its preliminary report on the economic growth of European countries in the first quarter of 2021, according to which the average economic growth of 19 Eurozone countries and 27 EU member states were negative 0.6% and negative 0.4%, respectively. It is a decrease of 0.1% compared to the average growth of the previous quarter in the euro area and a 0.2% decrease in the European Union.  

In the 12 months to December, economic growth in the Eurozone averaged negative 1.8 percent and in the European Union averaged negative 1.7 percent.

Among European countries, the highest economic growth during this period of the year belonged to Lithuania with 1.8 percent, followed by Sweden with 1.1 percent and Belgium with 0.6 percent. On the other hand, the lowest economic growth was in Latvia, which experienced negative growth of 2.6 percent. Growth in Germany during the period was negative 1.7 percent, and Italy was negative 0.9 percent.

Among other European countries, fourth-quarter Czech growth was down 0.3 percent, Austria was estimated at 0.2 percent, Finland 0.3 percent, and France 0.4 percent.

The euro area includes 19 countries: Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia, and Finland. They use Euro as their currency. The European Union also has 27 members, including 19 Eurozone members, plus Bulgaria, Hungary, Poland, Denmark, Sweden, Croatia, the Czech Republic, and Romania.

According to a new report from the European Commission, the average economic growth of the 19 member states of the Eurozone in 2021 will be about 3.8 percent, which is 0.8 percent higher than the previous estimate, but the economic growth of the European Union instead of 3.9 percent, is projected 3.7%.