Seasonally adjusted first-quarter GDP decreased by 0.2 percent in the eurozone and by 0.1 percent in the European Union (EU), compared with the previous quarter, according to an estimate published on Friday by Eurostat, the statistical office of the EU.
In the fourth quarter of 2025, GDP had increased by 0.2 percent quarter-on-quarter in both the eurozone and the EU, according to Eurostat.
On an annualized basis, the EU economy grew by 0.7 percent year over year in the first quarter of 2026, while economy in the 19-member eurozone saw a 0.3-percent increase compared with the same period last year. Both figures were lower than the respective growth rates of 1.4 percent and 1.2 percent in the previous quarter, indicating a slowdown in Europe's economic growth momentum. According to Eurostat, the most noteworthy figures came from Ireland, where the economy contracted by 12.1 percent quarter on quarter and 16.8 percent year on year in the first three months of 2026, becoming a significant factor dragging down the overall economic performance of the eurozone.
Analysts believe that the situation in the Middle East has significantly driven up oil and natural gas prices, dealing a major blow to Europe which is heavily dependent on energy imports. At present, the eurozone is facing the risk of stagflation -- a combination of stagnant economic growth and rising prices.
First-quarter GDP decrease in EU, eurozone: Eurostat
First-quarter GDP decrease in EU, eurozone: Eurostat
First-quarter GDP decrease in EU, eurozone: Eurostat
Cities across China are decorating landmark sites with national flags and floral displays as National Day is around the corner.
Yuzhong District of southwest China's Chongqing City is displaying over 2,000 flags alongside carefully arranged floral landscapes covering main roads, commercial hubs, and bridges. In Shexian County of east China's Anhui Province, red flags are fluttering amid the Huizhou Ancient City's floral greenery.
At the Wenshan Dongshan Park in southwest China's Yunnan Province, citizens unfurled a giant 24-by-16 meter national flag, singing vibrant songs to express their heartfelt wishes. Cities such as Chengdu in southwest China, Taiyuan in north China, and Yichang in central China are also showcasing the five-star flag to usher in the holiday.
Flower displays bloom throughout streets and parks, with cities of Fuzhou in the east and Daqing in the northeast hosting themed floral exhibitions that brighten public spaces. Markets bustle with activity as fresh produce flows steadily. In Zhongmu, Henan Province in central China, trucks loaded with pomegranate, honey tangerines and kiwi line up early to meet demand. In Urumqi City of northwest China's Xinjiang Uygur Autonomous Region, flower markets bloom with over a thousand varieties meeting diverse consumer preferences.
Ahead of the holiday, Hong Kong's streets have been adorned with bright national and special administrative region (SAR)'s flags alongside large National Day posters. Community groups are holding cultural activities featuring traditional crafts to celebrate the 77th founding anniversary of the People's Republic of China.
In Macao, national flags wave at border checkpoints, streets, parks and squares, paired with celebratory banners creating a lively National Day atmosphere.
Cities across China adorned for National Day celebrations
