The Eurozone's economic growth rate exceeded the initial value, mainly benefiting from a boost in domestic demand.

date
05/12/2025
The Eurozone's economic growth in the third quarter exceeded initial estimates, driven by investment and consumption. Data on Friday showed that output grew by 0.3% compared to the previous three months, higher than the initial estimate of 0.2% by Eurostat. Net trade was a drag on growth. Despite facing tariff disruptions in the second half of 2025, the region's economy showed unexpected resilience. A stable labor market supported private consumption, while low borrowing costs benefited business spending. Officials including ECB President Lagarde believe that although geopolitical tensions continue to bring uncertainty, the risks to the economic outlook have become more balanced. Strong economic performance has contributed to sustained and robust wage growth, with data showing that average wages increased by 4% year-on-year from July to September, matching the pace of growth in the previous three months.