In the news which delighted investors and economists, Europe's economy once again seemed to race ahead as Germany and France reported growths in their third-quarter reports. In addition, Italy's economy has started to show signs of growth as well, lifting the Euro Zone, and much more of the EU, out of recession.
While Spain and Britain still seem to be struggling to get back on their feet, Germany, France and Italy, which collectively account for over two-thirds of the average Euro Zone output, made sure that the third-quarter is a turning point for the whole European economy by posting accelerating profits. Euro Zone spans 16 European countries.
Germany and France, which recorded growths of 0.7% and 0.3%, respectively, for the July-September period for the current year, had started to show signs of growth in the second quarter itself. France, however, has succeeded only half as much as the economists had estimated. Italy, on the other hand, exceeded all expectations by posting a growth of 0.6% for the period, after 5 consecutive quarters of losses.
"In sum the euro zone has officially turned the corner and that is cause for relief, not celebration", said Martin van Vliet, an economist at ING bank. Economists are of the opinion that it now safe to say that Europe is out of one of the worst global recessions, but it might take some time for all economies of the country to get a firm hold again.