Eurozone Economy Grows 0.5% In First Quarter

The eurozone economy grew 0.5% in the first quarter of 2005 from the figure for the previous quarter an initial estimate released May 12 by the EU's statistics arm showed. The growth marked an improvement from monthly growth of 0.2% in the final quarter of last year. Over 12 months, the eurozone economy expanded by 1.4% in the first quarter.

In the 25-nation EU, the economy also grew 0.5% in the first quarter from previous quarter, when 0.3 % growth was registered. Over 12 months, the region saw growth of 1.7% in the first quarter.

Looking ahead, the European Union's executive commission forecast that the eurozone economy would book quarterly growth in a range from 0.2 to 0.6%, revising its outlook down by 0.1% point. It has the same forecast for the third quarter.

Copyright Agence France-Presse, 2005