09/14/2023 – 10:38
The European Central Bank (ECB) published this Thursday, the 14th, updated projections from its staff for the euro zone. There is now an expectation that the region’s consumer price index (CPI) will increase by 5.6% in the current year. In June, the forecast was for a smaller increase of 5.4%.
For 2024, the expectation increased from 3.0% previously to 3.2%. For 2025 there was a cut, from 2.2% previously expected to 2.1%.
In the case of the core CPI, which excludes volatile items such as energy and food, the projection for 2023 was maintained at 5.1%. For 2024, it went from an increase of 3.0% previously to an increase of 2.9%, while for 2025 it was from 2.3% to 2.2%. In the words of the central bank itself, there was a “slightly downward revision in the core of the index.
The ECB staff also projects that the euro zone’s Gross Domestic Product (GDP) will grow by 0.7% this year, 1.0% next year and 1.5% in 2025, with a “significant” cut compared to June. Previously, he projected increases of 0.9%, 1.5% and 1.6%, respectively.
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