Survey: The eurozone economy faces a slowdown in growth in 2025 and 2026
The results of a survey conducted by the American (Bloomberg) agency revealed that the euro zone economy will witness weaker growth next year than expected, achieving a growth rate of only 1%, a slight increase from 0.8% this year, but less than previous estimates that expected a growth rate of 1.2. %, in addition to reducing growth expectations for 2026 from 1.4% to 1.2%.
Germany, the largest economy in the world, faces… Europe, challenges in its main industrial sector, which is expected to record growth of only 0.4% in 2025 and 1% in 2026, a decrease of 0.3 percentage points per year; Growth forecasts for France were also lowered, while Spain is expected to grow slightly above previous estimates.
These forecasts were more pessimistic than those issued by the European Central Bank, which lowered its forecasts this month with the implementation of its fourth interest rate cut since June.
The bank still expects rising income and stable inflation at the 2% target to support economic recovery, although it has repeatedly acknowledged the slowdown in achieving this. The impact.
In turn, the chief economist of the European Central Bank, Philip Lane, said, “There are strong reasons to believe that the economy will improve in the next two years, but some families may postpone consumption decisions in light of… A state of uncertainty.
Economists expect inflation to reach 2% in the second quarter of 2025 and remain at this level before falling to 1.9% in the following year.
Expectations also indicate a decline. Faster decline in inflation The basic rate, one of the central bank’s most important concerns, to reach 2% by the third quarter of 2025.
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