The German and French economies showed signs of resilience as the two eurozone countries performed slighter better than expected. In particular, Germany's growth slowed less than excepted while France narrowly escaped recession with zero growth in Q2.

Germany, the eurozone's largest economy, posted modest economic growth of 0.3 percent over the quarter, marginally beating forecasts.

However, economists warn that the German economy could soon start to shrink unless a decisive solution is taken for the currency bloc's debt crisis.

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On the other hand, French GDP remained unchanged at zero percent growth for the third consecutive quarter, once again dodging a recession, thanks to a mild increase in investment and export activity.

However, the French central bank has already said it expects a mild contraction of 0.1 percent in the third quarter.

French Finance Minister Pierre Moscovici called the result "very weak" but maintained the government's forecast of 0.3 percent growth in 2012.

France emerged from its last recession in 2009, but has since struggled to grow as the eurozone debt crisis intensified. Furthermore, the Bank of France's GDP forecasts, if proven correct, could pose serious problems for Francois Hollande's government as it tries to hit a budget deficit target of 4.5 percent of GDP this year and 3 percent in 2013.

The Netherlands also managed to avoid the dreaded Triple-Dip recession, posting growth of 0.2 percent in the last quarter.

Separately, Hungary has become the latest European country to fall into recession, shrinking 0.2 percent in the last quarter following a 0.7 percent contraction in Q1. This result comes as negotiations continue over a possible bailout package from the International Monetary Fund.

Greece's economy shrank 6.2 percent in the second quarter, while Italy's economy contracted at an annualized rate of 0.7 percent quarter-on-quarter, extending the country's year-long double dip recession.

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Overall, the eurozone shrank by 0.2 percent in Q2, said Eurostat. On a year-on-year basis, the eurozone economy is 0.4 percent smaller than a year ago.

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