Collected photo

BRUSSELS, Belgium, Aug 21, 2025 (BSS/AFP) - Business activity in the eurozone increased for an eighth consecutive month in July, rising to the greatest extent in 15 months, a closely watched survey showed on Thursday.

The HCOB Flash Eurozone purchasing managers' index (PMI) published by S&P Global registered a figure of 51.1 this month, up from 50.9 in July. Any reading above 50 indicates growth, while a figure below 50 shows contraction.

"Things are getting better. Economic activity has picked up in both manufacturing and services," said Cyrus de la Rubia, chief economist at Hamburg Commercial Bank.

"Despite headwinds like US tariffs and general uncertainty, businesses across the eurozone seem to be coping reasonably well."

Germany, a key driver of Europe's economy and the eurozone's largest economy, posted a third successive monthly increase in output on the back of a solid expansion in manufacturing production, the survey said.

And France also showed signs of improvement, recording the softest marginal fall in output in a year.

"France, which had been a drag in June and July, showed signs of stabilising in August. The same goes for services: France's recession seems to be tapering off," de la Rubia said.

The rest of the Euro area continued to register increasing output, albeit at a slighter slower pace than in July, the survey said.