EU economy narrows 1.2% in Q1 in partial recovery

By Gokhan Ergocun

ISTANBUL (AA) - The European Union's gross domestic product (GDP) narrowed 1.2% year-on-year in the first quarter of 2021, posting a partial recovery, official figures showed on Tuesday.

The 27-member bloc's economy narrowed 4.4% in the previous quarter, 4% in the July-September period in 2020, 13.8% in April-June, and 6.2% overall in 2020, according to Eurostat data.

On the euro area side, the GDP growth rate was minus 1.3% in the first quarter of 2021, versus the same quarter of 2020.

The eurozone/euro area or EA19 represents the member states that use the single currency – the euro – while the EU27 defines all member countries of the bloc.

In the first quarter, Portugal was the worst performer with a GDP growth rate of minus 5.4% year-on-year. It was followed by Austria (minus 4.5%), and Spain (minus 4.3%), the bloc’s statistical authority said.

Meanwhile, Ireland posted the largest GDP growth rate with 12.8% year-on-year, while Estonia (5%), and Luxembourg (4.9%) followed it.

The COVID-19 measures, such as lockdowns and travel bans, affected economic activities and smashed countries all around the world, especially in the EU.

Turkey posted a 7% GDP growth rate in the first quarter of 2021 on an annual basis.