14th November 2014

Industrial production, inflation and GDP rise in the EU, Eurostat says

On 12 and 14 November, Eurostat published its figures for the eurozone´s and the EU28´s economic indicators. According to an estimate, the industrial production rose by 0.6%  both in the eurozone and in the entire EU in September, as opposed to a slight decreasy recorded in August. October inflation figures rose by 0.1 p.p. compared to September for both the eurozone and the EU – 0.4% and 0.5% respectively. However, they still remain below the 2013 figures of 0.7% and 0.9% for the eurozone and for the EU respectively, not to say they are still well below the ECB price stability target of “below, but close to 2%”. The GDP figures, according to a flash estimate, also show a slight increase. The GDP rose by 0.2% (eurozone) and 0.3% (EU28) in Q3 compared to Q2 2014. Annually, the GDP rose by 0.8% (eurozone) and 1.2% (EU28). Most importantly for economic analysts, Germany managed to stay out of recession, with a 0.1% growth. Also the bloc´s second largest economy – France, experienced slight growth, as well as the “programme countries” of Greece and Portugal, plus Spain. On the other hand, Italy and Cyprus fell in economic terms. National governments, the EC and the ECB have been all under a lot of pressure lately to provide more incentives for growth – the recorded numbers are in no way too optimistic, so economic actors and analysts would like to see more investment. This is to be provided by the governments, but also by the EC. President Juncker promised €300 billion investment package before Christmas. Also the ECB is expected to speed up its quasi-QE asset-buying scheme.

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Members of the American Chamber of Commerce in the Czech Republic