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European Commission lowers growth forecast for EU and eurozone

The eurozone inflation forecast for 2025 remains unchanged at 2.1%

BRUSSELS, May 19. /TASS/. The European Commission has revised its growth forecast for the eurozone in 2025 downward to 0.9%, compared with 1.3% in its fall forecast. The estimate for 2026 has also been lowered to 1.4% from the previously expected 1.6% - these projections are outlined in the European Commission’s spring forecast.

A similar trend is observed across the European Union as a whole: 1.1% growth is now expected in 2025 instead of the 1.5% projected last fall, and 1.5% is forecast for 2026, down from the earlier estimate of 1.8%.

The European Commission anticipates a comparable situation at the global level, lowering its forecasts for global economic growth in 2025 and 2026 from 3.5% to 3.3%.

The eurozone inflation forecast for 2025 remains unchanged at 2.1%, while the forecast for 2026 has been revised downward to 1.7%, compared with 1.9% in the previous outlook. The expected unemployment rate for 2025 is also unchanged at 6.3%.

The European Commission attributes the current slowdown in growth to ongoing uncertainty stemming from the tariff war initiated by US President Donald Trump’s administration and the conflict in Ukraine.

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