Euro area’s inflation is expected to be at 8.5% in 2022, while the projections for 2023 see it slowing to 6.1%, the European Commission shared in its Autumn 2022 Economic Forcast report. In 2024, the inflation figure is projected to stand at 2.6%. In the entire EU, the inflation rate is expected to be at 9.3% in 2022, 7% in 2023, «before moderating to 3%» in 2024.
Meanwhile, EC is predicting the Eurozone and EU’s gross domestic product (GDP) will rise 3.2% and 3.3% in 2022, respectively, up from previous estimates, while the figure will significantly drop in 2023, to stand at only 0.3% in both areas. In 2024, however, «economic growth is forecast to progressively regain traction, averaging 1.6% in the EU and 1.5% in the euro area.»
In addition, employment growth in the EU is expected to be at 1.8% in 2022, «before coming to a standstill in 2023,» and going up 0.4% in 2024. Unemployment rates in the bloc are expected to come in at 6.2% in 2022, 6.5% in 2023, and 6.4% in 2024.