Eurozone: lower deficit but bigger debts

Eurostat statistics agency reported that the eurozone is finally starting to recover and maintain control over its financial situation, although the region’s total debt levels are still at a dangerously high level.

The last figures reveal that the average eurozone government deficit, measured in the shortfall between revenue and spending, was 3% of GDP last year.

But a few countries are above that: Slovenia registered the highest deficit, 14.7%, Greece is close with a 12.7% deifict, followed by Ireland and Spain which show a 7.2% and,respectively, 7.1% deficit.

As regards the debt situation, Greece, as a result of borrowing from the eurozone, has a mountain-high debt which went up from 157% in 2012 to 175.1 in 2013.

Other debtors are Italy at 132.6% of GDP, Portugal with 129% and Ireland at 123.7% of GDP.

Although Italy is the third-largest economy in the region, it still battles with record unemployment rates and weak growth while trying to cut down on debt.