Economy

Eurozone Inflation and GDP Growth Forecasts Adjusted Upward for 2025 and 2026, ECB Reports

Eurozone Inflation Forecasts Revised Upwards

According to the latest European Central Bank's Survey of Professional Forecasters (SPF), headline inflation in the Eurozone is expected to rise to 2.2% in 2025, marking a 0.1 percentage point increase from previous estimates. The forecast for 2026 has also been adjusted upwards to 2%, with projections for 2027 remaining steady at the same rate.

GDP Growth Expectations Brighten

The survey paints a slightly more optimistic picture for the Eurozone's economic growth, with GDP expected to grow by 0.9% in 2025 and 1.2% in 2026, both figures seeing a 0.1 percentage point increase from earlier predictions. The outlook for 2027 is even brighter, with growth anticipated at 1.4%, up from the previous forecast of 1.3%.

Unemployment Rates to Remain Stable

On the employment front, the unemployment rate is projected to hold steady at 6.3% across 2025, 2026, and 2027, indicating a stable labor market in the coming years.