Regional Economic Outlook, Europe, November 2023: Restoring Price Stability and Securing Strong and Green Growth

Europe is at a turning point. The continent simultaneously grapples with firmly bending the inflation curve now while securing strong and green growth in the medium term.
READ MORE...
Publication date: November 2023
ISBN: 9798400254116
$20.00
Add to Cart by clicking price of the language and format you'd like to purchase
Available Languages and Formats
paperback else
pdf else
epub else
English
French
German
Russian
Spanish
Ukrainian
Topics covered in this book

This title contains information about the following subjects. Click on a subject if you would like to see other titles with the same subjects.

Labor , Banks and Banking , Finance , Inflation , Economics- Macroeconomics , International - Economics , inflation , growth , monetary policy , labor , headline inflation , core inflation , coverage ratio , IMF staff calculation , inflation expectation , capitalization rate , Emerging and frontier financial markets , Central bank policy rate , Energy prices , Labor markets , Europe , Global

Summary

Europe is at a turning point. After last year’s crippling energy price shock caused by Russia’s invasion of Ukraine, Europe faces the difficult task of restoring price stability now while securing strong and green growth in the medium term. Economic activity has started to cool and inflation to fall as a result of monetary policy action, phasing-out supply shocks, and falling energy prices. Sustained wage growth could, however, delay achieving price stability by 2025. Failing to tackle inflation now will risk additional growth damage in a world exposed to structural shocks from fragmentation and climate change. These global headwinds add to Europe’s long-standing productivity and convergence problems. To lift Europe’s potential for strong and green growth, countries need to remove obstacles to economic dynamism and upgrade infrastructure. This will strengthen business-friendly conditions and investment. Cooperation at the European level and with international partners will position Europe as a leader in the climate transition and support economic stability across the continent.