EU economy grows by 2.4 percent in first quarter

By Tuba Sahin

ANKARA

The EU economy grew by 2.4 percent in the first quarter of 2018 compared to the same quarter last year, according to the European statistical office on Thursday.

"Compared with the same quarter of the previous year, seasonally adjusted GDP [gross domestic product] rose by 2.5 percent in the euro area and by 2.4 percent in the EU28 in the first quarter of 2018, after +2.8 percent and +2.7 percent, respectively, in the previous quarter," Eurostat said in a statement.

The seasonally-adjusted GDP expanded by 0.4 percent in both the eurozone and 28 EU states, compared to the previous quarter, it said.

The eurozone represents 19 EU member states that use the single currency, euro, while EU28 defines all member countries of the bloc.

Eurostat reported that both Latvia and Poland posted the highest growth compared to the previous quarter with 1.6 percent.

"Slightly negative growth was observed in Estonia (-0.1 percent) while GDP in Romania was stable," the statement added.

Eurostat also revealed that GDP in the U.S. rose 2.8 percent on a yearly basis and 0.5 percent on a quarterly basis.

The household final consumption expenditure went up by 0.5 percent in the eurozone and by 0.4 percent in the EU28 during the first quarter of 2018.

Eurostat stated that household final consumption expenditure had a positive contribution to GDP growth in both the eurozone and the EU28 with 0.1 and 0.2 percentage points.

EU's and Eurozone's exports slipped by 0.4 percent and 0.3 percent, respectively during the same period.

"Imports decreased by 0.1 percent in the euro area and were stable for the EU28," it added.