ECB's de Guindos: Uncertainty Has Abated, But Still A Defining Feature Of Our Times

EU Commission Raises Eurozone 2025 GDP Growth Forecast To 1.3% From 0.9%, Cuts 2026 To 1.2% From 1.4% - Forecasts Eurozone 2025 Inflation At 2.1%, 1.9% In 2026, 2.0% In 2027 Vs 2.4% In 2024 - Forecasts Eurozone 2025 Aggregated Budget Deficit 3.2% Of GDP, 3.3% In 2026, 3.4% In… Autumn 2025 Economic Forecast shows continued growth despite challenging environment Economic growth exceeded expectations in the first nine months of the year, with real GDP growth outperforming the annual expansion projected in spring. This better-than-expected performance was initially due to a surge in exports ahead of anticipated tariff increases, but investment in equipment and intangible assets also performed more strongly than expected — most notably in Ireland, but also in other countries. Continued growth in the third quarter is testimony to the resilience of the European economy and its ability to navigate unprecedented shocks. Data from the Commission surveys and PMIs in October suggest continuing growth momentum in the coming quarters. Key conditions for an expansion in economic activity remain in place, despite a challenging external environment and persistent uncertainty. Growth is supported by a resilient labour market, decreasing inflation and favourable financing conditions. In addition, policy support from the Recovery and Resilience Facility and other EU fund