Euro zone’s GDP stagnated in the first quarter

Due to the strong performance of the German economy, euro zone was able to escape the recession in the euro zone, the gross domestic product (GDP) stagnated in the first quarter compared to the previous three month – announced Eurostat on Tuesday in its first estimate. Analysts expected a 0.2 percent drop.

As the result of good export income, the German economy increased by 0.5 percent and this saved the euro area from GDP decrease in two consecutive quarters, that could meant a sink into technical recession.

In the last quarter of last year euro zone’s GDP fell by 0.3 percent.

According to Eurostat's first estimate, the total gross domestic product of the EU 27 also stagnated in the first quarter.  (MTI)