The eurozone needs a recession to bring down inflation

European Central

member reported European Central Class Note, today, Monday, that it is not certain that the eurozone economy will enter a state of recession, given that economic data, especially in Germany, showed some upward trends in the rate of economic growth.

The member of the European Central Bank added that the economic growth rate for the last quarter of this year will witness a slight decline, and indicated in this regard that the euro zone economy needs a relatively low growth rate in order for the inflation rate to return to the required level.

It is worth noting that inflation in the eurozone recorded a strong rise at the end of last October, reaching 10.7% compared to last September, when it recorded 9.9%, which prompted the European Central Bank to raise interest rates for the second time in a row by 75 basis points at its previous meeting, to reach the final interest rate. to 2.00%.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.