European Commission cuts eurozone growth estimate in 2022

THE growth economic gives zone of euro this year will be slower of that awaits youof before insawof to a new onegives in Covid-19 infections, high prices gives energy and probleminthe ushers in thereof gives supply, while inflation will be much highergivesI told Commission European.

In its regular economic projections, the executive arm gives EU said that the Gross Domestic Product ofthe 19 countries that use the euro will grow 4.0% this year and 2.7% in 2023

THE I estimated represents a cut in comparison with novinbro, whenof The Commission designed expansion in 4.3% in 2022 and 2.4% in 2023, and it’s close gives eyesight of funof International Monetary Fund, which provides growth in 3.9% this year and in 2.5% in 2023

“Multiple obstacles have cooled the economy gives Europa: fastgives sayininaction gives Omicron, new high gives inflation insawof to the increase ofs prices in Persistent power and interruptions in the ACingo in offer,” said Economic Commissioner Europeu, Paolo Gentiloni.

“With the expectation in that these obstacles progressively diminish, we project that the growth will accelerate in new.”

THE Commission projects that inflation this year will be in 3.5%, bin above gives goal in 2.0% of central bank Europeu and much above in your own projection in novinbro in 2.2%.

is also a I estimated more pessimistic of that of ECB in inzinbro, whenof the bank projected inflation in 3.2% this year.

worryof with the longest duration of that awaits youof of increase in consumer pricesofr, the ECB toofI took a tougher tone with inflation and started to prepare the marketsofs for the end in its unconventional stimulus, with some minbros gives asking boardof increase ofinterest already this year.

But Commissionlike the IMF, projects that inflation will inspeed up in next year to 1.7%, below gives goal of ECB, in so that a potential increase ofinterest would happen exactly whenof the high ofs prices inslow down in new.

In inzinbro, the ECB projected inflation in 1.8% for 2023.

“The pressures in prices invin stay strong until summer (of Hinnorth isphere), and inbecause inflation insee you fall as you moveinthere’s the increase ofs prices in energy and bottlenecks in offer decreasedin.

However, uncertainty and risks remainin high,” Gentiloni said.

Source: CNN Brasil

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