Eurozone economy grows 0.4% in 2nd quarter, matching expectations

The eurozone economy expanded by 0.4% in the second quarter of 2026, matching market expectations, according to a flash estimate released by Eurostat on Friday.

The quarterly growth marked an acceleration from the first quarter, when gross domestic product (GDP) remained unchanged.

The EU economy grew by 0.5% quarter-on-quarter in the April-June period, following growth of 0.1% in the previous quarter.

On an annual basis, GDP increased by 1% in the euro area and 1.2% in the EU during the second quarter, compared with respective growth rates of 0.5% and 0.8% in the first quarter.

Among EU members for which data were available, Ireland recorded the strongest quarterly growth at 3.9%, followed by Slovenia at 1.8%, Lithuania at 1.7% and Sweden at 1.4%.

Spain’s economy expanded by 0.7%, while Germany, France and Italy each posted growth of 0.2%.

GDP remained unchanged in Belgium, Austria and Romania.

On an annual basis, Slovenia recorded the highest growth rate at 4.8%, followed by Lithuania at 3.8%, Poland at 3.7% and the Greek Cypriot Administration at 3.3%.

Romania and Ireland were the only countries to report annual contractions, of 2% and 5.6%, respectively.

Employment in both the euro area and the EU increased by 0.1% in the second quarter compared with the previous three-month period.

Compared with the same quarter last year, employment rose by 0.5% in both regions.

For comparison, the US economy grew by 0.4% quarter-on-quarter and 2.1% year-on-year in the second quarter.