Economic growth in the euro zone expanded by 2.6 percent last year, the European Union's statistics agency said Tuesday, revising downward an earlier estimate of 2.7 percent on newer figures for the fourth quarter that showed household spending shrank.
This is below 2006 growth when the euro area expanded at the fastest pace in six years, generating record profits for European companies and creating new jobs that shrunk long unemployment lines _ but above both the U.S. and Japan last year.
The euro area is likely to slow to 1.8 percent this year, EU officials said last month, warning of uncertain times ahead as Europe tries to ride out a slowdown in its major trading partner, the United States, and tighter credit conditions in the wake of the subprime crisis.
More immediately, the euro area is battling record-high inflation and a currency that hit a new high against the U.S. dollar on Monday, reaching US$1.5266 in afternoon trading _ making exports to the U.S. more expensive but cutting Europe's bill for dollar-priced imported oil.
The EU statistics agency, Eurostat, said the euro zone grew just 2.2 percent in the last three months of 2007 compared with the same period a year earlier. This is down from its first estimate of 2.3 percent and leaves unchanged its 0.4 percent figure for growth from the previous quarter.
Household consumption _ one of the main drivers of Europe's recent growth spurt _ shrank by 0.1 percent from the third quarter as shoppers shied away from big purchases when faced with higher prices for transport fuel, heating oil and groceries such as milk, bread and vegetables.
The strong euro was the likely brake on exports in the final three months of the year with sales abroad rising 0.5 percent quarter-on-quarter after a booming summer saw a 2.1 percent surge.
The euro area has more than 318 million people and accounts for more than 15 percent of the world's gross domestic product.
Комментариев нет:
Отправить комментарий