Eurozone growth accelerated in Q1 but outlook for the year remains subpar

The Eurozone economy surpassed expectations in Q1, with growth accelerating to 0.4%.

This expansion was likely supported by the European Central Bank’s ongoing monetary loosening, as well as exporters increasing activity prior to the implementation of tariffs from the US.

Despite the stronger performance in Q1, the outlook for the currency bloc remains weak, driven by geopolitical uncertainty and poor domestic demand conditions. Cebr projects the Eurozone economy to grow by just 0.8% this year, far below its long-term trend.