BRUSSELS—The European Commission cut its forecasts for economic growth in the euro zone for this year and next and revised up its estimates for inflation on Thursday largely due to the impact of the war in Ukraine.
In its quarterly forecasts, Brussels confirmed its more downbeat outlook, which it had already discussed with euro zone finance ministers on Monday.
The EU executive now predicts growth of 2.6 percent this year for the 19-country currency bloc, slightly less than the 2.7 percent it had forecast in May.
But next year, when the impact of the Ukraine war and of higher energy prices may be felt even more acutely, growth is now forecast to be 1.4 percent, instead of the 2.3 percent previously estimated….