For eurozone households and businesses, higher energy costs remain a risk to prices and economic activity even after the bloc outperformed growth forecasts.
Ireland recorded growth of 5.5% in the third quarter, with strong activity in information and communication and manufacturing driving its expansion.
A preliminary estimate put eurozone growth at 0.4% quarter-on-quarter in the third quarter, above market estimates of 0.2%. The result was slower than the 0.6% expansion recorded in the second quarter.
Compared with the same period a year earlier, eurozone gross domestic product was 1.3% higher.
The aggregate figure concealed a weak performance in the bloc's largest economies. Germany grew 0.2% quarter-on-quarter, while France, the second-largest economy, unexpectedly contracted by 0.1%.
Spain, the Netherlands and Estonia each expanded by 0.6% quarter-on-quarter. Italy recorded zero growth, leaving its economy stagnant.
Across the EU, growth was 0.5% in the third quarter. Gross domestic product across all 27 member states rose 0.5% quarter-on-quarter and 1.5% year-on-year.
Inflation pressures are heating up in France and Spain, while German state inflation readings offered some relief. Authorities are watching downside risks closely, concerned that energy-driven inflation could spread into other sectors.
France experienced a wave of large-scale violent protests during the third quarter. Fierce demonstrations also broke out in Milan and other Italian cities.
Comments (0)