ECB Updates 2024 GDP Growth to 0.9%, Raises Inflation Forecasts

Jun 6, 2024, 12:19 PM

The European Central Bank (ECB) has updated its economic growth and inflation forecasts. The ECB now expects GDP growth of 0.9% in 2024, up from the previous forecast of 0.6%. For 2025, the GDP growth forecast is revised down slightly to 1.4% from 1.5%, and for 2026, it remains unchanged at 1.6%. Additionally, the ECB has raised its inflation projections. Inflation excluding energy and food is projected to average 2.8% in 2024, 2.2% in 2025, and 2.0% in 2026. Since the ECB meeting in September 2023, inflation has fallen by more than 2.5 percentage points, and the inflation outlook has improved markedly. The latest Eurosystem staff projections for both headline and core inflation have been revised up for 2024 and 2025.