There will be further concerns surrounding the Italian outlook with growth expected to be capped around 1.0% over the next two years and growth at this level would make it extremely hard to cut unemployment rates.
Despite the British economy showing resilience this year, the commission predicted a slowdown next year, cutting its 2017 GDP forecast to... For the whole European Union, it said growth would be 1.8 percent this year, compared to a 1.6-percent expectation in May.
In its first look ahead to 2018 the commission said it expected growth of 1.8 per cent.
In its latest economic update, the Commission said this would lead to GDP growth of 4.1% in 2016, 3.6% in 2017 and 3.5% in 2018.
"The frustration expressed in the USA clearly echoes that of European voters", Pierre Moscovici, the European economy commissioner, said.
The European Commission said on Wednesday it had increased its forecast for Slovenia's economic growth this year to 2.2% from 1.7% projected in May, with all components except investment contributing to growth.
Economic growth in Europe was also revised down.
There will be major concerns whether the Italian government can hold together if these growth forecasts are accurate and there will be major concerns over stability if the outlook is worse than expected.Читайте также: UN chief urges Cyprus leaders to seize peace deal chance
External risks, such as uncertain economic trends in China and the risk of aggravating geopolitical conflicts have also risen, the report added.
"The frustration expressed in the United States clearly echoes that of European voters", Moscovivi said.
"Yesterday we were talking about candidates and now we are talking about the president elect", saidCommissioner Moscovici in his tweet, insisting on hope that "things will be different", but clarifying that the result is respected as "the American people have voted democratically". Euro-economy is expected to grow by 1.7% in 2018. "Many of our citizens feel excluded from the economic recovery and there is a distance between them and their government", he added, on "issues that exist to our countries as well".
Inflation, long stuck near negative territory, would accelerate sharply, the commission said today, as rising oil prices began to lift consumer prices.
Inflation, which the European Central Bank wants to keep below, but close to 2 per cent over the medium term, is to pick up to 0.3 per cent this year from zero last year and to 1.4 per cent in 2017 and in 2018, the Commission said.
That will in turn hit spending, which is set to drop from 2.9% this year to 1.5% in 2017.
However, the growth projection for next year was trimmed to 1.5 percent from 1.8 percent.
Greece will be the only eurozone member in recession this year with a contraction of 0.3 percent as fallout from debt crisis continued to affect the economy.При любом использовании материалов сайта и дочерних проектов, гиперссылка на обязательна.
«» 2007 - 2019 Copyright.
Автоматизированное извлечение информации сайта запрещено.
Код для вставки в блог