EU raised economic outlook as energy prices ease

Posted on May 22, 2023   |  

The EU raised its growth outlook for 2023 and 2024 and expects the economy to expand by 1% in 2023, up from an estimate of 0.8% in February. 

Low energy prices are lowering business costs and easing the pressure on households.

In May, the European Central Bank increased interest rates by a quarter of a % point, the smallest growth since July.

In 2023, Germany’s growth is expected to slow to 0.2%, Italy’s output is likely to grow by 1.2%, and the Portuguese economy could expand by 2.4%.

Industrial production for Europe fell by 4.1% in March among the 20 countries that use the euro.