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The Independent UK
The Independent UK
National
David McHugh

Europe sees modest growth, but the weaker dollar looms as a threat

Germany Economy - (Copyright 2026 The Associated Press. All rights reserved)

The European economy recorded modest growth at the end of last year, pushing past turmoil over higher U.S. tariffs. But now the economy faces another hurdle: a stronger euro against the dollar that could weigh on exports.

Growth in the 21 countries that use the shared euro currency came in at 0.3% for the last three months of 2025, matching the figure from the third quarter, the EU statistics agency Eurostat reported Friday. Growth compared with the fourth quarter of 2024 was 1.3%.

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