According to the Statistical Office of the European Union (Eurostat), the eurozone economy in the first quarter fell at a record pace, as measures to combat the coronavirus pandemic sharply reduced economic activity in the region. Today's Eurozone GDP data showed a decrease of 3.8% compared with the previous three months. This decline was the sharpest quarterly decline since data collection began in 1995. In annual terms, the GDP of the European region fell by 3.2%, and not by 3.3%, as previously reported, after growing by 1% in October-December. The economy of all EU countries in the I quarter decreased by 3.3% compared with the previous quarter and by 2.6% in annual terms. The German economy, the largest in Europe, contracted 2.2% in January-March compared with the previous quarter. According to the forecasts of the European Commission, the eurozone economy in 2020 may contract by a record 7.7% due to the coronavirus pandemic, while public debt and budget deficits will increase.
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