The European Commission is less pessimistic about the economic outlook in the EU this year than in the autumn. She expects an average growth of 0.9 percent for the eurozone.
However, in November, it still averaged 0.3 percent and feared a recession in the months around the turn of the year. Inflation also seems to have passed its highest point. In 2023, this will drop to an average of 5.6 percent in the euro countries, the Commission states in its annual winter forecast.
The committee said that confidence in the resilience of the European economy appears to be recovering in Europe, despite the uncertainty about the ongoing war in Ukraine.
However, she does warn of “strong headwinds” in 2023. Consumers and businesses will continue to face high energy bills. Even without including energy and food prices, the purchasing power of households remains under pressure.