Sunday, November 17, 2024

GDP up by 0.3% and employment up by 0.3% in the euro area

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Announcement

Following recommendations for a harmonised European revision policy for national accounts and balance of payments, EU countries will carry out a benchmark revision of their national accounts estimates in 2024. The purpose of this benchmark revision is to implement changes introduced by the amended ESA 2010 regulation, and to incorporate new data sources and other methodological improvements. Most of the revised quarterly and annual country data are expected to be released by Eurostat between June and October 2024, and will be progressively integrated in European estimates. The impact of these revisions is expected to be limited, but still noticeable for some European aggregates and more pronounced for certain Member States. For further details, please consult the available documentation on Eurostat’s website.

GDP growth in the euro area and the EU

In the first quarter of 2024, seasonally adjusted GDP increased by 0.3% in both the euro area and the EU, compared with the previous quarter, according to an estimate published by Eurostat, the statistical office of the European Union. In the fourth quarter of 2023, GDP had declined by 0.1% in the euro area and had remained stable in the EU.

Compared with the same quarter of the previous year, seasonally adjusted GDP increased by 0.4% in the euro area and by 0.5% in the EU in the first quarter of 2024, after +0.2% in the euro area and +0.3% in the EU in the previous quarter.

GDP growth rates over the same quarter of the previous year

During the first quarter of 2024, GDP in the United States increased by 0.3% compared to the previous quarter (after +0.8% in the fourth quarter of 2023). Compared with the same quarter of the previous year, GDP increased by 2.9% (after +3.1% in the previous quarter).

GDP growth by Member State

Malta (+1.3%) recorded the highest increase of GDP compared to the previous quarter, followed by Cyprus (+1.2%) and Croatia (+1.0%). Decreases were observed in Denmark (-1.8%), Estonia (-0.5%) and the Netherlands (‑0.1%).

GDP growth rates in the first quarter of 2024

GDP components and contributions to growth

GDP components evolved in the first quarter of 2024 as follows:

  • government final consumption expenditure was stable in the euro area and increased by 0.1 in the EU (after +0.6% in the euro area and +0.5% in the EU in the previous quarter),

  • gross fixed capital formation decreased by 1.5% in both the euro area and the EU (after +0.8% and +0.7% respectively),

The contribution to GDP growth from:

  • government final expenditure was negligible for both zones (+0.0 pp for both),

  • gross fixed capital formation was negative for both the euro area and the EU (-0.3 pp for both),

  • changes in inventories was negative for both euro area (-0.3 pp) and the EU (-0.1 pp), and

  • exports minus imports was positive for both the euro area (+0.9 pp) and the EU (+0.6 pp).

Decomposition of GDP growth of the euro area by expenditure aggregates

Decomposition of GDP growth of the EU by expenditure aggregates

Employment growth in the euro area and EU

The number of employed persons increased by 0.3% in both the euro area and the EU in the first quarter of 2024, compared with the previous quarter, after +0.3% in the euro area and +0.2% in the EU in the fourth quarter of 2023.

Growth of employment in persons over the previous quarter

Compared with the same quarter of the previous year, employment increased by 1.0% in the euro area and by 0.9% in the EU in the first quarter of 2024, after +1.2% in the euro area and +1.0% in the EU in the fourth quarter of 2023.

Growth of employment in persons over the same quarter of the previous year

Hours worked increased by 0.3% in both the euro area and the EU in the first quarter of 2024, compared with the previous quarter. Compared with the same quarter of the previous year, the hours worked increased by 0.2% in the euro area and were stable in the EU.

These data provide a picture of labour input consistent with the output and income measure of national accounts.

Employment growth in Member States

In the first quarter of 2024, Romania (+2.4%), Malta (+1.4%) and Portugal (+1.1%) recorded the highest growth of employment in persons compared with the previous quarter. Decline of employment was recorded in Poland (-0.6%), Slovakia(-0.3%) and Sweden (-0.1%).

Growth rates of employment in persons in the first quarter of 2024

Employment levels in the euro area and EU

Based on seasonally adjusted figures, Eurostat estimates that in the first quarter of 2024, 218.0 million people were employed in the EU, of which 169.9 million were in the euro area.

Evolution of employment in persons and hours worked

Evolution of labour productivity in the euro area and EU

The combination of GDP and employment data allows an estimation of labour productivity.

In the first quarter of 2024, productivity based on persons decreased by 0.6% in the euro area and by 0.5% in the EU compared to the same quarter of the previous year.

Based on hours worked, productivity compared with the same quarter of the previous year decreased by 0.3% in the euro area and remained stable in the EU.

Evolution of labour productivity based on persons and hours worked

Tables

Growth rates of GDP in volume (based on seasonally adjusted* data)

Percentage change compared
with the previous quarter

Percentage change compared with the
same quarter of the previous year

2023Q2

2023Q3

2023Q4

2024Q1

2023Q2

2023Q3

2023Q4

2024Q1

0.1

0.0

-0.1

0.3

0.6

0.2

0.2

0.4

0.1

0.1

0.0

0.3

0.6

0.2

0.3

0.5

0.3

0.3

0.3

0.3

1.3

1.3

1.3

1.3

0.4

0.4

0.5

0.4

2.0

1.8

1.7

1.8

0.3

-0.8

0.4

0.3

-0.1

-0.6

0.2

0.2

-0.9

0.3

2.7

-1.8

0.7

0.6

3.5

0.2

-0.1

0.1

-0.5

0.2

0.2

-0.1

-0.2

-0.2

-0.3

-0.7

-0.6

-0.5

-3.0

-3.1

-2.4

-2.1

-0.8

-2.4

-3.6

0.9

-0.5

-5.7

-9.1

-5.9

1.1

0.0

0.3

0.7

2.7

2.1

1.3

2.1

0.5

0.5

0.7

0.7

2.0

1.9

2.1

2.4

0.7

0.1

0.3

0.2

1.4

0.9

1.2

1.3

1.6

-0.7

2.0

1.0

3.3

1.9

4.4

3.9

-0.1

0.4

0.1

0.3

0.6

0.6

0.7

0.7

-0.2

1.3

1.0

1.2

2.2

2.5

2.3

3.4

-0.3

-0.1

0.4

0.9

-0.3

0.2

-0.1

0.9

2.4

-0.1

-0.2

0.8

0.8

0.1

0.1

2.9

0.3

-1.3

0.0

0.5

-0.4

-2.0

-0.6

-0.4

0.0

0.9

0.0

0.8

-2.1

-0.2

0.5

1.7

0.7

2.3

0.2

1.3

5.0

7.2

4.4

4.6

-0.4

-0.3

0.3

-0.1

-0.1

-0.6

-0.2

-0.6

-1.3

-0.2

0.1

0.2

-1.6

-1.7

-1.3

-1.3

-0.2

1.1

0.0

0.5

-0.5

0.2

1.7

1.3

0.1

-0.2

0.7

0.8

2.6

1.9

2.1

1.5

1.0

0.9

-0.6

0.4

2.8

3.5

1.1

1.8

0.9

-0.1

0.9

0.0

1.8

1.8

2.4

1.8

0.8

0.6

0.6

0.7

1.5

1.8

2.2

2.7

0.6

-1.0

-0.8

0.2

-0.5

-1.6

-1.5

-1.2

-0.5

0.1

0.0

0.7

-0.5

-0.7

-0.1

0.7

1.1

-2.5

0.9

-0.9

4.9

2.6

0.6

-1.4

-0.2

-0.5

1.6

0.2

0.9

-1.5

1.0

1.1

-0.3

0.3

0.3

0.5

0.4

0.4

0.7

0.8

0.5

1.2

0.8

0.3

2.4

2.9

3.1

2.9

Growth rates of employment in persons*

Percentage change compared
with the previous quarter

Percentage change compared with the
same quarter of the previous year

2023Q2

2023Q3

2023Q4

2024Q1

2023Q2

2023Q3

2023Q4

2024Q1

0.2

0.2

0.3

0.3

1.5

1.4

1.2

1.0

0.1

0.2

0.2

0.3

1.2

1.2

1.0

0.9

0.1

0.1

0.1

0.2

0.9

0.6

0.5

0.5

0.0

-0.1

0.4

0.1

1.2

-0.6

1.2

0.7

1.0

-0.7

-0.1

0.0

0.9

0.5

0.4

0.3

0.2

0.1

0.1

0.7

1.7

1.3

0.9

1.1

0.2

0.0

0.0

0.1

0.9

0.7

0.5

0.3

-1.5

-0.9

0.6

0.5

3.4

2.2

2.2

-1.3

0.6

0.4

0.3

0.7

3.1

3.6

3.4

1.9

0.2

0.2

0.6

0.6

1.3

0.7

1.0

1.5

0.0

1.3

0.8

1.0

3.1

3.6

3.6

2.9

0.1

0.1

0.1

0.1

1.2

0.9

0.7

0.5

-0.7

1.0

0.4

0.3

1.1

1.9

1.9

1.1

0.1

0.1

0.6

0.4

1.5

1.7

1.6

1.2

0.4

0.6

0.4

0.6

1.5

1.3

1.1

2.2

-0.1

-0.1

-1.0

0.3

0.3

-0.2

-0.8

-0.9

0.7

1.4

0.0

0.2

0.8

1.9

2.1

2.6

0.5

0.2

0.3

0.2

2.5

2.0

1.7

1.2

0.0

0.2

0.1

0.3

0.0

0.2

0.1

0.6

1.4

1.4

1.4

1.4

6.4

6.4

6.3

5.8

0.1

0.2

0.4

0.4

1.6

1.2

1.0

1.2

0.1

0.0

0.0

0.2

1.0

0.8

0.4

0.4

0.3

-0.2

-0.3

-0.6

-0.1

0.3

-0.3

-1.0

0.6

0.1

-0.1

1.1

1.2

1.0

1.2

1.8

-0.5

0.5

1.5

2.4

-1.9

-0.6

0.3

4.0

0.1

0.1

0.1

0.2

1.4

1.0

0.7

0.6

0.1

0.0

0.0

-0.3

0.1

0.2

0.3

-0.1

0.5

-0.5

-0.6

0.2

1.5

0.1

-0.5

-0.1

0.2

0.1

-0.1

-0.1

1.4

0.9

0.3

0.0

0.9

0.6

0.5

0.2

5.3

4.5

3.6

2.1

0.0

0.1

0.1

0.3

1.5

1.0

0.6

0.5

0.8

-0.2

0.4

0.3

2.8

2.2

2.2

1.4

Growth rates of employment in hours worked*

Percentage change compared
with the previous quarter

Percentage change compared with the
same quarter of the previous year

2023Q2

2023Q3

2023Q4

2024Q1

2023Q2

2023Q3

2023Q4

2024Q1

0.2

0.0

0.1

0.3

1.1

0.9

0.8

0.2

-0.1

0.0

0.2

0.3

0.7

0.7

0.5

0.0

:

:

:

:

:

:

:

:

-0.9

0.1

0.6

0.0

-0.3

-1.6

1.1

0.4

0.2

-0.7

1.6

-1.8

-0.3

-0.9

0.6

-1.9

0.8

-0.1

0.1

0.1

0.9

0.6

0.5

0.4

0.6

-0.1

-0.8

0.7

0.7

-0.1

0.1

-0.6

-0.4

2.3

-2.2

-1.0

2.6

-0.1

0.3

-2.4

-1.1

0.9

-0.6

1.2

1.1

1.9

0.4

-0.2

-0.8

-4.0

4.7

1.7

2.2

0.7

1.6

1.6

1.5

0.0

0.1

-0.3

0.8

1.9

2.9

-0.1

0.3

0.1

0.2

-0.1

1.1

0.8

0.4

1.0

-0.6

1.0

0.0

0.0

1.2

1.9

1.8

1.1

-0.5

0.5

0.8

0.6

1.3

1.8

1.8

1.7

-0.2

1.3

0.8

0.3

1.3

1.7

1.5

2.6

-2.6

-0.3

1.4

1.1

-2.0

-1.2

-0.7

-0.5

2.2

1.1

-0.3

0.9

2.5

4.3

1.7

3.4

-1.9

-0.1

0.0

4.4

1.3

0.8

-0.4

1.4

-0.5

0.2

-0.4

0.5

-1.6

-1.1

-2.9

-2.2

-0.3

-5.6

2.5

3.5

6.5

2.8

1.2

-0.2

-0.1

0.2

0.1

0.4

1.7

-0.1

-0.5

-0.3

-0.1

0.1

-1.0

-0.6

0.5

1.3

-1.1

-2.2

-1.1

-0.2

0.0

-0.5

-1.2

0.0

-1.0

-1.8

-0.7

0.3

-1.5

-0.3

2.6

1.0

-0.9

-2.4

-0.3

0.3

1.5

2.5

-2.0

-0.7

0.5

4.2

0.7

1.6

1.1

1.1

-2.6

2.8

3.3

4.3

-1.0

-0.2

0.8

-0.6

-0.5

0.2

1.3

-1.6

0.2

-1.2

-0.8

0.8

0.1

-2.4

-2.7

-2.3

-1.1

-0.2

0.7

-0.1

-0.4

-2.1

-0.5

-1.6

0.6

0.2

0.2

-2.8

4.5

3.3

2.0

-1.7

0.2

0.2

0.4

0.5

-0.2

0.0

0.0

-3.0

Overview on the evolution of main expenditure components

GDP and expenditure components

seasonally adjusted, chain-linked volumes

Percentage change compared with the previous quarter

Percentage change compared with the same quarter of
the previous year

Euro area

EU

Euro area

EU

0.1

0.1

0.6

0.6

0.0

0.1

0.2

0.2

-0.1

0.0

0.2

0.3

0.3

0.3

0.4

0.5

0.1

0.3

0.6

0.3

0.4

0.4

-0.3

-0.2

0.2

0.3

0.7

0.7

0.2

0.2

0.8

1.1

0.3

0.3

0.7

0.8

0.7

0.7

1.5

1.6

0.6

0.5

1.4

1.8

0.0

0.1

1.6

1.8

0.2

0.4

1.7

2.1

0.1

0.2

0.7

1.2

0.8

0.7

1.6

1.7

-1.5

-1.5

-0.5

-0.2

-1.0

-0.9

0.0

0.5

-1.3

-0.7

-2.7

-1.7

0.2

0.4

-2.5

-1.2

1.4

1.0

-0.8

-0.2

-0.2

-0.3

-0.1

-0.2

-1.6

-1.1

-4.0

-3.6

0.6

0.5

-2.4

-2.0

-0.3

-0.2

-1.5

-1.0

Contribution of expenditure components to change of GDP

seasonally adjusted, chain-linked volumes

Contribution in percentage points to GDP change compared with the previous quarter

Contribution in percentage points to GDP change compared with the same quarter of the previous year

Euro area

EU

Euro area

EU

0.1

0.1

0.3

0.2

0.2

0.2

-0.1

-0.1

0.1

0.1

0.4

0.4

0.1

0.1

0.4

0.6

0.1

0.1

0.1

0.2

0.2

0.2

0.3

0.4

0.1

0.1

0.3

0.4

0.0

0.0

0.3

0.4

0.0

0.1

0.4

0.5

0.0

0.0

0.1

0.3

0.2

0.2

0.4

0.4

-0.3

-0.3

-0.1

0.0

0.4

0.1

-0.3

-0.7

-0.4

-0.5

-0.8

-1.3

-0.3

-0.4

-0.8

-1.2

-0.3

-0.1

-0.6

-0.9

-0.5

-0.5

0.0

0.3

-0.7

-0.4

-1.4

-0.9

0.1

0.2

-1.3

-0.7

0.7

0.5

-0.5

-0.1

0.1

0.1

0.1

0.1

0.8

0.6

2.1

1.9

-0.3

-0.3

1.3

1.1

0.1

0.1

0.8

0.5

GDP and expenditure components in the first quarter of 2024 in millions of euro, seasonally adjusted, at current prices 

Euro area

EU

3 681 310.3

4 353 839.7

1 924 564.8

2 277 100.7

783 414.9

927 937.3

796 020.3

946 907.5

– 4 847.9

– 10 521.3

3 499 152.1

4 141 424.1

1 875 058.7

2 265 391.8

1 692 900.5

2 052 976.2

Notes for users

Revisions

The reliability of GDP and employment flash estimates was tested by dedicated working groups and revisions of subsequent estimates are continuously monitored. Further information can be found on Eurostat website.

With these estimates, euro area and EU employment and GDP figures for earlier quarters are revised.

Flash estimates of employment and GDP growth were published in News Release issued on 15 May 2024. They were based on a more limited data set than the one used for the present News Release and additionally, on preliminary estimates that have now been revised by some Member States. Revisions for the last quarter are highlighted in bold in the table below:

To the previous quarter (Q/Q-1)

To the previous year (Q/Q-4)

Previous

Current

Previous

Current

Euro area

EU

Euro area

EU

Euro area

EU

Euro area

EU

0.3

0.3

0.3

0.3

0.4

0.4

0.4

0.5

0.3

0.2

0.3

0.3

1.0

0.7

1.0

0.9

The European estimates published today include benchmark revisions from France and Sweden. All estimates presented in this release may be revised with the t+110 database update scheduled for 19 July 2024, which will reflect the impact of countries’ benchmark revisions as available.

Release schedule

This news release presents estimates for euro area and EU GDP and employment aggregates based on national accounts transmission from all Member States due after t+2 months.

A further estimation is done at around t+110 days after some countries transmit updated estimates.

To increase the timeliness of key indicators, Eurostat also publishes flash estimates for GDP (after around 30 and 45 days) and employment (after around 45 days). The flash estimates are based on estimates provided by most EU Member States on a voluntary basis.

Methods and definitions

European quarterly national accounts are compiled in accordance with the European System of Accounts 2010 (ESA 2010). They include key policy indicators on GDP and employment.

Gross domestic product (GDP) at market prices measures the production activity of resident producer units. Growth rates are based on chain-linked volumes.

Employment covers employees and self-employed working in resident production units (domestic concept). Employment flash estimates are limited to total employment in persons, but regular estimates also cover hours worked and industry breakdowns.

Labour productivity is compiled as the ratio of economic output (GDP, chain-linked volumes with reference year 2010) to labour input (total employment measured in persons or hours worked, for all industries, according to the domestic concept).

The method used for compilation of European GDP and employment estimates is the same as for previous releases.

Geographical information

Euro area (EA20): Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Croatia, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland.

European Union (EU27): Belgium, Bulgaria, Czechia, Denmark, Germany, Estonia, Ireland, Greece, Spain, France, Croatia, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Hungary, Malta, the Netherlands, Austria, Poland, Portugal, Romania, Slovenia, Slovakia, Finland and Sweden.

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