Economic growth in the sixteen countries that shared the euro grew less than anticipated during the three months of 2010 as winter weather and sovereign debt concerns weighed on member economies, according to The Wall Street Journal. On Tuesday, the European Union reported that eurozone gross domestic product grew by 0.3% in the fourth quarter, which is the same rate as the previous three-month period but shy of economists forecasts for 0.4% growth. Gross domestic product was 2% higher year-over-year, gaining slightly from 1.9%, but again falling just shy of forecasts.
The slow economic expansion was due to slowing growth in the region’s leading economy, Germany, which saw growth ease to 0.4% in the fourth quarter from 0.7% in the quarter prior due to heavy winter weather. French growth failed to accelerate, and countries on the periphery, including Greece and Portugal, that are burdened with sovereign debts saw economic contraction in the last three months of last year. The entire E.U. saw growth slow to 0.2% from 0.5% previously.
