Euro Area to Avoid Recession as Inflation Retreats, EU Says
- Commisson sees 0.2% growth in fourth quarter, 0.6% in 2023
- Debt reduction to stall in some of the EU’s biggest economies
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The euro area and its biggest economies will avoid a recession as growth returns at the end of the year, helped by slowing inflation and a robust jobs market, according to new European Union forecasts.
Output in the 20-nation bloc will increase by 0.2% in the fourth quarter after shrinking 0.1% in the three months through September, the European Commission said in a report on Wednesday. Even Germany, which has fared worse than peers amid a prolonged manufacturing slump, is predicted to avoid a recession.