Ireland Tops Europe’s Q2 Growth as Divergence Widens Across the Continent
TL;DR Summary
Eurozone GDP rose 0.4% QoQ in Q2 2026, with the EU up 0.5%, driven mainly by net exports as consumption and investment cooled. Ireland led with 3.9% growth, followed by Lithuania 1.7% and Sweden 1.4%, while Belgium and Austria stalled. Spain (+0.7%) and Portugal (+0.8%) also posted solid gains, and Germany, France and Italy expanded by about 0.2% each. Inflation firmed in July in Germany (~2.7%) and Spain (~3.5%), suggesting the ECB faces a delicate rate path ahead.
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