Eurozone comes out of recession

he eurozone has emerged from recession after a record 18 months of economic contraction.

Across the bloc, GDP grew by 0.3% in the second quarter of 2013, slightly ahead of forecasts.

The growth was widely expected after the German economy rose 0.7% between April and June.

However, the overall figure masks the mixed economic fortunes among the countries that make up the 17-country eurozone area.

The eurozone had been in recession since the end of 2011

However, the overall figure masks the mixed economic fortunes among the countries that make up the 17-country eurozone area.

Germany and France both posted stronger-than-expected growth, but Portugal, among the smallest and the weakest eurozone economies, showed the fastest growth, at 1.1%.

The country was one of three that had to take a multi-billion-euro bailout.

But Spain, which had to seek outside support for its struggling banking sector, saw its economic output fall by 0.1% on the quarter.

Italy and the Netherlands both saw growth fall by 0.2%.

Analysts from Capital Economics said: "The return to modest rates of economic growth in the eurozone as a whole won't address the deep-seated economic and fiscal problems of the peripheral countries."