Euro Zone Shrank 3.8% in the First Quarter of the Year

According to data published by the European Statistical Office, the Eurozone shrank 3.8 percent in the first quarter of the year. The European Statistical Office (Eurostat) published its first quarter growth data for the European Union and the Euro Area in 2020. According to this report, seasonally adjusted GDP in the Eurozone, which has 19 members, contracted by 3.8 percent in the first quarter of 2020 and 3.2 percent in the first quarter of 2019. In the European Union, seasonally adjusted GDP decreased by 3.3 percent in the first quarter of this year compared to the previous quarter and by 2.6 percent compared to the first quarter of 2019.

Employment in the EU is Falling

In addition to these data, the European Statistical Office (Eurostat) published the first quarter seasonally adjusted employment data of the Eurozone with 19 members and the European Union with 27 members. According to this report, employment in the European Union fell by 0.2 percent in the first quarter of the year. In the EU, seasonally adjusted employment decreased by 0.2 percent in the first quarter of the year compared to the previous quarter and increased by 0.3 percent compared to the same quarter of the previous year.

2.2 Percent Fall in the German Economy

The German Federal Statistical Office (Destatis) has released the Gross Domestic Product (GDP) data for the first quarter of 2020. According to these data, the Gross Domestic Product (GDP) adjusted for seasonal and calendar effects in the mentioned period fell by 2.2 percent in line with market estimates due to the decrease in investments and household consumption compared to the previous quarter. "The corona outbreak hit the German economy hard," Destatis said in a statement. Although the spread of coronavirus did not have a significant impact on economic performance in January and February, the impact of the pandemic is serious for the first quarter of 2020. ” His statements were included. On the other hand, the German Ministry of Economy and Energy emphasized that the economic production in the country experienced a sharp decline in March and April, "The economic impact of the corona epidemic triggered the recession." he spoke. ING Germany Chief Economist Carsten Brzeski stated that the construction sector and public expenditures contributed to growth in the first quarter of the year, but household consumption, investment and exports decreased in the same period. Brzeski said, “The second quarter will be more terrible. The removal of measures to prevent the spread of the virus and the major financial support of the German government (more than 30 percent of the country's GDP) supports the view that the German economy may exit from the crisis earlier and stronger than in other countries. ” expressed in expressions.