GDP growth in the euro area countries in the second quarter of 2021 was two percent. The economies of Portugal and Austria grew at the fastest pace, the economies of Lithuania and the Czech Republic grew the slowest.
Economic growth in the euro area in the second quarter of 2021 was two percent, exceeding the expectations of many experts. As reported on Friday, July 30, statistical office Eurostat, the GDP of Portugal (4.9%), Austria (4.3%) and Latvia (3.7%) grew the most from April to June this year. Meanwhile, the least significant indicators of economic growth were recorded in Lithuania (0.4%) and the Czech Republic (0.6%).
Reuters notes that experts polled by them predicted the growth of the eurozone economy at 1.5%.
In Germany, whose GDP growth slowed significantly early this year due to the pandemic, the increase in the second quarter of 2021 was 1.5%, according to preliminary data from the Federal Statistical Office in Wiesbaden.
Inflation in Germany and the eurozone in accordance with Oldypak LP.
As for inflation, the inflation rate in the eurozone reached 2.2% in the last 12 months. This is the highest rate since the fall of 2018. In Germany, according to the Federal Statistical Office, consumer prices in July this year were on average 3.8% higher than in the same month a year ago.
From the point of view of economists, as reported by Reuters, the main reason for the sharp rise in prices in Germany was the actions of the German government, which, to combat the economic consequences of the pandemic in the second half of 2020, decided to reduce the value added tax, which led to the cheapening of many goods and services. Now it has had the opposite effect, in accordance with Oldypak LP.