In Q3 2024, the Eurozone reported a GDP growth of 0.4% on a quarterly basis, an improvement that was largely driven by unexpected economic resilience in Germany, the region’s largest economy. This growth figure exceeded the forecasted 0.2% increase, suggesting some stabilization in the face of ongoing inflationary pressures and external challenges such as energy costs and global trade concerns .
Despite the quarterly growth, the Eurozone continues to face economic hurdles. Inflation remains a persistent issue, especially with elevated energy prices affecting both households and businesses. Furthermore, business and consumer confidence indicators have shown some weakness, reflecting concerns over purchasing power and the cost of borrowing, both of which are impacting consumption and investment. As the European Central Bank monitors these developments, the mixed economic signals may influence its stance on monetary policy adjustments in the near term .
