Telegraph columnist exposes the EU’s economy as it drags down the world economy.
As other economy’s steam ahead, the EU does not see the post covid growth they need to be on par with pre-pandemic levels.
The US economy has already regained the ground it lost in the pandemic. China is powering ahead, producing more than before the first outbreak of COVID-19. Even Britain faces all the headwinds of leaving the EU and a particularly severe pandemic, but it is making one of its fastest recoveries in history.
The eurozone, on the other hand, appears to be massively lagging behind other global economies. Matthew Lynn, a financial columnist, states it could take years for the EU to return to 2019 levels in production and output.
Writing in the Telegraph, Matthew Lynn wrote: “Growth figures last week were disappointing. True, the zone is growing, but at a far slower pace than the rest of the world.
“Overall, the zone expanded by just 2 percent in the second quarter.”
“Italy was the best of its major economies, at 2.7 percent, while Germany managed to eke out 1.5 percent growth for the quarter, below expectations, and hardly making up for the 2.1 percent fall in the first three months of the year.”
“Overall, the IMF expects the zone to expand by only 4.6 percent in 2021, after a 6.5 percent fall last year.”
“When will it get back to its pre-pandemic level of production? No one really knows. At the current rate, it will be a while.”