Macro - Country Economic Forecasts - Eurozone
We have lowered our 2022 GDP growth forecast for the eurozone by 0.1ppt to 2.7%, as a result of the ongoing Ukraine conflict which is having an acute impact on the region. Data released so far show the industrial sector being hit hardest, with industrial production at the aggregate level dropping by around 2% in March. Moreover, flash GDP data showed that the eurozone economy expanded by only 0.2% in Q1, broadly in line with our expectations. We continue to see a period of high inflation and supply-side issues.
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