GDP down by 0.1% in the euro area and up by 0.1% in the EU

June 12, 2023

GDP growth in the euro area and the EU

In the first quarter of 2023, seasonally adjusted GDP decreased by 0.1% in the euro area and increased by 0.1% in the EU, compared with the previous quarter, according to an estimate published by Eurostat, the statistical office of the European Union. In the fourth quarter of 2022, GDP had decreased by 0.1% in the euro area and by 0.2% in the EU.

Compared with the same quarter of the previous year, seasonally adjusted GDP increased by 1.0% both in the euro area and in the EU in the first quarter of 2023, after +1.8% in the euro area and +1.7% in the EU in the previous quarter.

During the first quarter of 2023, GDP in the United States increased by 0.3% compared to the previous quarter (after +0.6% in the fourth quarter of 2022). Compared with the same quarter of the previous year, GDP increased by 1.6% (after +0.9% in the previous quarter).

GDP growth by Member State

Poland (+3.8%) recorded the highest increase of GDP compared to the previous quarter, followed by Luxembourg (+2.0%) and Portugal (+1.6%). The highest decreases were observed in Ireland (-4.6%), Lithuania (-2.1%) and the Netherlands (-0.7%).

GDP components and contributions to growth

During the first quarter of 2023, household final consumption expenditure decreased by 0.3% in both the euro area and the EU (after -1.0% in the euro area and -0.9% in the EU in the previous quarter). Government final consumption expenditure decreased by 1.6% in the euro area and by 0.9% the EU (after +0.8% in the euro area and +0.4% in the EU in the previous quarter). Gross fixed capital formation increased by 0.6% in the euro area and by 0.3% in the EU (after -3.5% and -2.8% respectively). Exports decreased by 0.1% in the euro area and increased by 0.1% in the EU (after -0.2% and -0.3%). Imports decreased by 1.3% in both the euro area and the EU (after -2.5% and -2.3% in the previous quarter).

Household final consumption expenditure had negative contributions to GDP growth in both the euro area and the EU (-0.1 percentage points – pp for the euro area and -0.2 pp for the EU). The contributions from government final expenditure were negative for both zones (-0.3 pp for the euro area and -0.2 pp for the EU). The contributions of gross fixed capital formation were positive for the euro area and for the EU (+0.1 pp for both zones). The contributions from the external balance were positive (+0.7 pp for the euro area and +0.8 pp for the EU). The contributions from changes in inventories were negative for the euro area and for the EU (-0.4 pp for both).

GDP levels in the euro area and EU

Based on seasonally adjusted figures, GDP volumes in the euro area and EU were 2.2% and 2.9% respectively above the level recorded in the fourth quarter of 2019, before the COVID-19 outbreak. For the United States, GDP was 5.4% higher than the level of the fourth quarter of 2019.

Source: Eurostat
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