European Commission presents estimates of GDP growth and other key indicators of the EU’s economic situation in 2021-2023

Must Read

The Romanian Neptun Deep project in the Black Sea is progressing according to schedule. The Transocean Barents drilling platform will drill the 10 wells...

Bucharest, February 14, 2025 - RBJ - Representatives of the Romanian Government visited the Transocean Barents platform on Friday,...

National Bank of Romania decided to keep the monetary policy rate at 6.50 percent per annum

Bucharest, February 14, 2025 - RBJ - In its meeting of 14 February 2025, the Board of the National...

The first wax paper factory in Eastern Europe opens in Iasi, an innovative solution to reduce plastic consumption

Bucharest, February 13, 2025 - RBJ - Romania opens the first wax paper factory in Eastern Europe, on the...

By Constantin Radut
The EC’s Winter 2022 Economic Forecast report highlights the narrowing of economic growth gaps over the next two years between the EU’s Western and Eastern economies.
What stands out in 2021 is the strong growth in the CEE countries and a slower recovery in Western Europe, with the exception of France which has a very high economic growth forecast of 7% of GDP.
In the Eastern EU, Croatia will have the highest GDP growth, followed by Hungary and Romania.
It is also worth noting the sharp increase in the inflation rate in 2022 compared to 2021. A phenomenon that is not yet stabilized and without reliable forecasts
The table below shows a substantial slowdown in growth over the next two years, 2022 and 2023 in all EEC states.

Winter 2022 Economic Forecast for CEE countries

Country 2021 2022 2023
Bulgaria

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

 

3,8

2,4

 

4,1

2,9

 

3,5

1,8

Croatia

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

10,5

2,7

 

4,8

3,5

 

3,0

1,6

Czechia

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

3,3

3,3

 

4,4

5,8

 

3,9

2,2

Hungary

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

 

6,5

5,2

 

5,0

5,4

 

3,2

3,6

Poland

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

5,7

5,2

 

5,5

6,8

 

4,2

3,8

Romania

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

6,3

4,1

 

4,2

5,3

 

4,5

2,5

Slovakia

-GDP growth (%, yoy)

-Inflation (%, yoy)

 

3,0

2,8

 

5,0

6,4

 

5,1

2,4

 

 

Regarding Romania, the economy registered an advance of 6.3% in 2021, due to a solid domestic demand, but the growth rate will slow down to 4.2% this year, so that in 2023 it will accelerate slightly to 4, 5%.
In comparison, in the autumn of last year, the Community Executive predicted that Romania’s Gross Domestic Product will register an advance of 7% in 2021, following that in 2022 it will slow down to 5.1% and in 2023 it will increase to 5.2%.
“Towards the end of 2021, the advance of growth has calmed down due to supply constraints, the new wave of COVID-19 infections and the sharp recovery of inflation. Despite this loss of momentum, which would continue in the spring of 2022, The latest data on confidence in the economy show a positive outlook for growth, albeit a moderate one, especially in services, retail, construction and industry, “the European Commission said.
According to the EU executive, private consumption is expected to recover in the second half of this year, when restrictions are expected to ease and inflation to moderate. Investments would also remain strong throughout the forecast period, supported by the Recovery and Resilience Facility.

On the other hand, the European Commission has significantly increased its inflation forecast for this year in the case of Romania, from 4% as estimated in November, to 5.3% according to winter estimates, after in 2021 the average inflation rate in Romania it was 4.1%, according to the EU Executive.
“Prices will continue to rise in 2022 due to high energy prices and the shift of these costs to the prices of other goods and services. Food prices are also expected to rise as a result of higher prices and higher supply. Stronger wage dynamics than expected at present represent an upside risk to the inflation forecast, “the European Commission said in a statement released on Thursday.
The good news is that in 2023 the Commission forecasts a decrease in the average annual inflation rate in Romania to 2.5%, as energy prices would moderate and a base effect will appear.

- Advertisement -
Latest News

The Romanian Neptun Deep project in the Black Sea is progressing according to schedule. The Transocean Barents drilling platform will drill the 10 wells...

Bucharest, February 14, 2025 - RBJ - Representatives of the Romanian Government visited the Transocean Barents platform on Friday,...

National Bank of Romania decided to keep the monetary policy rate at 6.50 percent per annum

Bucharest, February 14, 2025 - RBJ - In its meeting of 14 February 2025, the Board of the National Bank of Romania decided the...

The first wax paper factory in Eastern Europe opens in Iasi, an innovative solution to reduce plastic consumption

Bucharest, February 13, 2025 - RBJ - Romania opens the first wax paper factory in Eastern Europe, on the Exonia industrial platform in Iasi,...

Klaus Iohannis, the first president in Romanian history to end his term by resigning, a shameful and undignified resignation

Bucharest, February 12, 2025 - RBJ - Today, Klaus Iohannis, the fourth president of the post-communist period of Romania, ended his term by resigning....

Cushman & Wakefield Echinox: Increased supply of industrial & logistics spaces in 2024, as the stock reached almost 7.6 million sq. m

Bucharest, February 2025 - RBJ - Developers completed new projects with a leasable area of 572,000 sq. m across the country in 2024, reflecting...
- Advertisement -

More Articles Like This

- Advertisement -