Eurozone unemployment drops to lowest since May 2009 in December

The eurozone unemployment rate unexpectedly declined in December, according to figures released by Eurostat on Tuesday.

The unemployment rate fell to 9.6% from a downwardly-revised 9.7% in November and 10.5% in December 2015. This is the lowest rate recorded in the bloc since May 2009 and came in ahead of analysts’ expectations for a reading of 9.8%.

In the EU-28 group of nations, the unemployment rate was stable compared to November at 8.2%, but down from 9% in December 2015. This remains the lowest rate recorded in the region since February 2009.

Among the member states, the lowest unemployment rates were recorded in the Czech Republic and Germany, with the highest in Greece and Spain.

Pantheon Macroeconomics said: “The labour market in the eurozone is improving steadily, but divergence between the major economies is still significant.”