HomeLive CommentsECB upgrades growth and inflation forecasts for 2021 and 2022

ECB upgrades growth and inflation forecasts for 2021 and 2022

In the post meeting press conference, ECB President Christine Lagarde said, business and consumer surveys and high-frequency indicators point to a “sizeable improvement” in activity in Q2. Business surveys indicate a “strong recovery in services” while manufacturing production “remains robust”. Consumer confidence are “strengthening”, suggesting a strong rebound in private consumption in the period ahead. Business investments shows “resilience”.

According to the baseline scenario, ECB upgraded real GDP growth forecast in 2021 to 4.6% (up from 4.0%) , in 2022 to 4.7% (up from 4.1%). 2023 growth forecast was unchanged at 2.1%. Annual inflation is projected to be at 1.9% in 2021 (up from 1.5%), 1.5% in 2022 (up from 1.2%) and 1.4% in 2023 (unchanged).

Full statement here.

Featured Analysis

Learn Forex Trading