Brussels: According to the latest data from S&P Global, the Eurozone Composite Purchasing Managers’ Index (PMI) dropped to 50.7 in March, down from 51.9 recorded in February. While the figure came in slightly above the initial estimate of 50.5, it signals a notable loss of momentum across the region’s economy.
The slowdown has been largely attributed to escalating energy costs and ongoing supply chain challenges linked to geopolitical tensions in the Middle East. These pressures have increased operational costs for businesses while also impacting production and delivery timelines.
At the same time, weakening demand across key sectors has further dampened growth prospects, raising concerns about the sustainability of the Eurozone’s economic recovery.
The PMI is a key indicator of economic health, with readings above 50.0 indicating expansion and those below signaling contraction.
Eurozone growth slowed sharply in March as the Composite PMI slipped to 50.7 from 51.9 in February, an eight‑month low, S&P Global data shows. The loss of momentum reflects surging energy costs and persistent supply chain disruptions tied to Middle East tensions, which are squeezing businesses, weakening demand across key sectors and clouding the durability of the region’s fragile recovery.