Europe's economy experienced stagnation at the close of 2024, with Germany, its former growth powerhouse, marking a second consecutive year of contracting output. According to the EU statistics agency Eurostat, the gross domestic product in the 20-nation eurozone remained flat with zero growth in the final quarter of the year.
The economic slowdown from 0.4% growth in the previous quarter was attributed to concerns among businesses regarding potential trade disruptions under the new U.S. administration of President Donald Trump. Consumers also exhibited caution in spending due to lingering effects of inflation, despite a decrease from its peak of 10.6% in October 2022.
