THE eurozone recorded an unexpected contraction in the first three months of 2026 due to a steep slump in Ireland’s economic figures, according to revised data issued on Friday. The economy 21-country eurozone shrank 0.2 per cent compared to the previous three-month period, according to the EU’s statistics agency, which had earlier estimated first quarter growth to be nearflat at 0.1 per cent. The unusually steep downward revision was due to a sharper-than-estimated contraction in Ireland — where economic activity fell 12.1 per cent compared to an initial forecast of two per cent.
Ireland’s statistics office, the CSO, said Thursday the exceptional revision was due to the incorporation of data related to multinational companies, which carry significant weight in the Irish economy. France’s performance was also revised down at the end of May, with GDP falling by 0.1 per cent in the eurozone’s second-largest economy instead of the flat reading previously reported by statistics agency Insee.
“Excluding the effect of Irish GDP, Eurozone growth remains remarkably steady at around 0.2 per cent per quarter,” noted Rory Fennessy of Oxford Economics. That said, the outlook for the eurozone remained lacklustre as the Middle East war and subsequent energy shock take their toll on the region’s economy, with no end in sight.
AFP
#TheGlobalNewLightOfMyanmar