According to the Commission’s latest economic forecast, published in early July, the EU economy will experience a deep recession in 2020 due to the impact of COVID-19. This forecast updates the spring forecast published in early May. As lockdown are being lifted more gradually than originally anticipated, the impact on economic activity in 2020 will be more significant than projected in the earlier forecast. The return to growth in 2021 will also be less strong than projected in the spring.
Below are the key figures from the summer economic forecast
- The Euro area economy will contract by 8.7% in 2020 and grow by 6.1% in 2021
- The EU economy is forecast to contract by 8.3% in 2020 and grow by 5.8% in 2021
The full forecast and reports can be found here.