Poor outlook for the domestic economy: In its economic forecast on Monday, the European Commission predicted growth of 0.4 percent for 2023. In the winter forecast, the value was still 0.5 percent. Things should go uphill in 2024: domestic growth should then amount to 1.6 percent. Inflation remains high at 7.1 percent and is not expected to fall to 3.8 percent until 2024.
Things look better for the EU as a whole: here the growth forecast for the current year has been corrected to 1.0 percent (0.8 percent in the winter interim forecast). In 2024, EU-wide growth is expected to reach 1.7 percent.
In the euro area, gross domestic product (GDP) is expected to increase by 1.1 or 1.6 percent.
Inflation remains higher than last expected: the European Commission expects 5.8 percent in the eurozone and 6.7 percent in the EU in 2023. An easing of 2.8 or 3.1 percent is not expected until 2024 – due to the uncertain global situation, this forecast is also surrounded by great uncertainty.
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.
