Brussels has raised its GDP growth forecast for the euro area in 2023 to 0.9%, six tenths compared to its latest estimates. Inflation, for its part, will moderate to 5.6%.
Euskaraz irakurri: Euroguneko ekonomia ez da oraingoz atzeraldian sartuko, Europako Batzordearen arabera
The European Commission has raised its GDP growth forecast for the eurozone in 2023, an improvement of six tenths with respect to their latest estimates, and rules out that for the moment it enters a recession.
Thus, the new projections point to economic growth this year of 0.9% this year in the euro countries and 0.8% in the whole of the European Union (EU), five tenths more than what it had calculated in autumn, to later accelerate to 1.5% and 1.6% in 2024.
In addition, the Community Executive draws a scenario of gradual decrease in the inflation in the next two years, standing at 5.6% in the euro area and 6.4% in the EU at the end of this year (almost three points less than average inflation for 2022 in both cases).
The new forecasts of the European Commission, presented at a press conference by the Commissioner for the Economy, Paolo Gentiloni, thus reflect that the European economy dodged recession in the fourth quarter of 2022, but has warned that there are still downside risks that can twist expectations again.
In particular, Brussels underlines as one of the main positive factors the drop in energy prices to “levels even lower than those of before the war” thanks to the “continuous diversification of supply sources” and the “sharp decline” in the consumption.
By countriesIreland will lead economic growth this year, with an expansion of 4.9%.
Spain, with 1.4%, will have growth above the community average of 0.8%. Italy and Belgium will have growth in line with the Community average of 0.8%, while Hungary (0.6%), Austria (0.5%), Poland (0.4%), Lithuania (0.3% ), Germany and Finland (0.2%) and Estonia, Latvia, the Czech Republic and Denmark (0.1%).
Sweden will be the only country in the community club that will close this year with a contraction, of 0.8%.
Source: Eitb
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