Global Economy
Eurozone GDP Surprises Upward in Q4 2025, Growing 0.3% QoQ
Eurostat’s flash estimate shows the euro‑area economy expanded faster than expected in the fourth quarter of 2025. Seasonal‑adjusted GDP rose by 0.3 % between October and December, matching the pace of the previous quarter, and up 1.3 % year‑on‑year. The figures beat Reuters‑survey forecasts of 0.2 % quarterly and 1.2 % annual growth, signalling a modest but steady recovery across the 20 member states that share the euro. Analysts attribute the upside to sustained consumer spending and a smoother energy‑price transition than anticipated, although uncertainties around monetary policy and global trade remain.
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Eurozone GDP Beats Forecast in Q4 2025
Eurostat released its flash estimate on Friday, indicating that the combined economy of the 20 euro‑zone countries grew by 0.3 % between October and December 2025, matching the pace of the previous quarter.
On an annual basis, the region recorded a 1.3 % increase in GDP, slightly below the 1.4 % growth recorded in Q3 2025 but above the 1.2 % forecast published by Reuters.
Key Figures
- Quarter‑on‑quarter growth (Q4 2025): 0.3 %
- Quarter‑on‑quarter growth (Q3 2025): 0.3 %
- Year‑on‑year growth (2025): 1.3 %
- Reuters consensus forecast: 0.2 % QoQ, 1.2 % YoY
The upside is largely credited to resilient household consumption and a softer‑than‑expected energy‑price correction, which helped cushion the economy from external shocks.
Nevertheless, analysts caution that monetary‑policy tightening in the Eurozone and persistent global trade frictions could limit further acceleration.