The European Commission has slightly raised its growth forecast for the Austrian economy this year. The Brussels authorities expect gross domestic product (GDP) to rise by 0.5 percent in 2023, 0.2 percentage points more than previously assumed, according to the winter forecast published on Monday.
In 2024, growth is expected to pick up slightly again at 1.4 percent. For the year 2022, the European Commission still expects a significant increase of 4.8 percent.
Eurozone is growing faster
The EU authority forecasts growth of 0.9 percent for the eurozone and 0.8 percent for the EU this year. In 2024, the economy in the eurozone is expected to grow again by 1.5 percent and in the EU by 1.6 percent. An increase of 3.5 percent is expected for 2022 in both the eurozone and the EU as a whole.
Inflation still high
Although inflation in Austria is likely to ease somewhat this year, it will remain at a high level. According to EU estimates, the inflation rate will level off at 6.6 percent this year, compared to 8.6 percent in 2022. After that, inflation is expected to fall to 3.6 percent in the coming year.
Inflation expectations for the eurozone and the EU are 5.6 percent and 6.4 percent respectively for 2023, against 8.4 percent and 9.2 percent in 2022. The estimates for the coming year are 2.5 percent in the eurozone and 2.8 percent in the EU.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
