The EU Acknowledges: Inflation for European Residents Will Only Rise 0 9

Although the European Commission improved its GDP growth expectations for the European Union and the eurozone in its autumn forecast compared to spring, it worsened the inflation forecast for the EU as a whole. In other words, residents will pay more for goods and services, but this will lead to an increase in economic indicators. The new forecast figures were published on the EC's website.

This year, the economy of the European Union is expected to grow by 1.4 percent (spring forecast — 1.1 percent), while the eurozone is expected to grow by 1.3 percent (0.9 percent). Next year, on the contrary, expectations have become more restrained — 1.4 percent and 1.2 percent compared to 1.5 percent and 1.4 percent, respectively.

Inflation at the end of 2025 in the EU will be 2.5 percent (spring forecast — 2.3 percent), while in the eurozone it will be 2.1 percent, which matches the figures in the previous document. The budget deficit for 2025 has also increased by 0.1 percentage points — to 3.3 percent of GDP for the EU and to 3.2 percent of GDP for the eurozone. It is worth noting that the annual inflation in Latvia in August was 4.2%.